After 10-year fight, woman makes realty firm pay up in Hyderabad

The developer had allegedly over-charged the city-based architect; ordered to pay Rs 3 lakh as compensation.
After 10-year fight, woman makes realty firm pay up in Hyderabad

HYDERABAD: Not many consumers reach out for justice when they are over-charged, especially by real estate developers. But, one woman fought a legal battle for 10 long years and made a developer pay for indulging in unfair trade practices. It all began in 2008, when city-based architect Sushmitha Ramakrishnan bought a 290 sq. yard plot from Narne Constructions and registered the sale deed for Rs 10,79,000.

The amount she had paid included development charges, additional developmental charges, registration charges, maintenance charges, ULC charges, and stamp duty & registration charges. While the construction company took Rs 4,20,000 towards stamp duty and registration charges, the sale deed showed that the company used only Rs 1,59,830 while quoting an excess amount of Rs 2,60,170. The company also took Rs 56,000 as 'additional development' charges.

Finding merit in her case, the State commission directed Narne Constructions to pay a compensation of Rs 3 lakh to the consumer for indulging in unfair trade practice.

Allotment letter, a key evidence:

While examining the allotment letter, the commission also found that the sale deed was issued even before necessary approvals were obtained from government authorities. The commission also observed that there had been a delay in issuing of the sale deed. Also, the additional development charges that were levied was not mentioned in the allotment letter.

"The amount that was shown towards registration charges is Rs 4,20,000. But the amount spent towards registration charges is only Rs 1,59,830. Hence, the complainant is entitled to the difference amount," the order copy read. The commission set aside the Hyderabad District Forum - 1 judgment and allowed the first appeal (FA) and directed the construction firm to pay Rs 3 lakh along with 9 per cent interest and Rs 5,000 as court charges.

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