BENGALURU: Offering some kind of relief to flat purchasers as well as highlighting the deficiencies of the builder, the Real Estate Regulatory Authority-Karnataka (RERA-K) court has ordered Krsna Properties to offer an explanation before February 13 as to why it has not met the deadline promised to its buyers. In the absence of a satisfactory explanation, the builder is likely to be slapped with a penalty by the court, which could touch up to 10% of the property cost.
The court has finally given its interim verdict in connection with a case filed by the Krsna Laburnum Welfare Association in November 2019. The verdict was delivered on January 13 but was made public only recently.
The posh ‘Krsna Laburnum’ on New BEL Road in RMV II Stage, proposed in July 2014, was to be handed over to the purchasers in September-October 2016, according to the association. The residential complex was to have a total of 44 3BHK houses in the form of 4 Blocks with each a 12-storied one.
A mini swimming pool, gym, children’s play area and squash court were among other amenities proposed in the Rs 36-crore project. “Members paid sums ranging between Rs 2.2 crore and Rs 3 crore, and 26 of them have purchased flats from the builder so far,” said a representative of the association (name withheld), speaking on behalf of all members.
“It is 2021 now. And despite many paying the full sum, with a couple of them even paying the property registration fee in advance, the builder has not even put in place doors and windows in most houses,” he said.
“Though the construction firm is in the name of his father, retired Agriculture professor K Balaraman, who lives next to the proposed apartment, his son Vikram Balaraman, runs the show,” he explained.
On the few occasions when the buyers confronted him, Vikram had told them that he did not have money and would complete the project when he got funds,” the representative said. “He has already collected nearly Rs 80 crore from us totally. Where has the money gone?” he asked. With repeated requests to father and son falling on deaf ears, the association took them to RERA court as a last option. “This is a very important verdict for us. We only hope the building project is somehow completed,” he added.