Real estate firm in Odisha pulled up over deficiency in service to flat buyers

SCDRC directed URPL to pay punitive compensation of Rs 5 lakh each to the nine complainants if it fails to complete the process within a month.
For representational purposes (File Photo | EPS)
For representational purposes (File Photo | EPS)

CUTTACK: The State Consumer Disputes Redressal Commission (SCDRC) has directed Utkal Realtors Pvt Limited (URPL) to issue occupancy certificates along with completion certificates obtained from Bhubaneswar Development Authority (BDA) to nine home buyers within 30 days.

While setting the deadline, SCDRC directed URPL to pay punitive compensation of Rs 5 lakh each to the nine complainants if it fails to complete the process within a month. 

The complainants were given possession of flats by URPL at its Utkal Heights residential complex at Pahala near Bhubaneswar in February 2015, 25 months after the scheduled date in December 2012.

The SCDRC bench of Justice DP Choudhury (president) and Dr S Mohanty (member) further directed URPL to pay compensation for the delay in delivery of possession of flats at 12 per cent (pc) per annum for the delay period on the total cost paid for the flats purchased. 

The interest rate will be enhanced to 18 pc per annum if the compensation is not paid within 30 days, the SCDRC order also specified, while directing URPL to pay litigation cost of Rs 25, 000 to each of the complainants. If URPL fails to do so, the amount would be recovered by the complainants from it with interest at the rate of 6 pc per annum from the date of the order till actual payment, the bench warned.

The SCDRC issued the slew of directions recently after finding deficiency in service to the complainants and holding URPL guilty of playing out unfair trade practice.

The SCDRC order further specified that as long as the occupancy certificate is not made available to the complainants, the URPL is debarred from collection of maintenance charge from the complainants.

It is made clear that URPL would not commit any default in maintenance of the building and common area as promised even if maintenance charge is not paid by the complainants.

The complainants had stated that though delivery of possession of the flats was scheduled for December 2012, the possession was delivered after execution of sale deed in February 2015.

They had also sought redressal against non-receipt of occupancy certificate, completion certificate and deficiency in service by way of not providing facilities/amenities as was assured in the brochure. The SCDRC passed the order on October 29, a copy of which was available on Thursday.

Related Stories

No stories found.

X
The New Indian Express
www.newindianexpress.com