Telengana RERA penalises builder for nine-year delay in handing over villa to owners, ET RealEstate
HYDERABAD: The Telangana Real Estate Regulatory Authority (TGRERA) has directed a developer to pay a penalty of 12.3 lakh for failing to deliver a villa in its Tellapur gated community project, Aakriti VIVA. It also ordered the developer to complete the construction and hand over possession to the complainants within 30 days.
The complainants – Neelima Vanamala and Srikanth Leburu, residents of Tellapur – had booked Villa No. 113 in Oct 2014 for a total cost of 73.4 lakh. Despite paying 66.4 lakh and signing a registered sale deed in Jan 2015, they alleged that the project was never completed and possession was not granted even after nine years.
They accused the builder of repeated delays, misuse of funds and attempting to encash blank cheques issued in 2015 without notice in 2022. The complainants claimed financial losses totalling 70.2 lakh, including rent, loan interest, and delayed possession compensation.
In response, the builder contested the maintainability of the complaint and questioned the legality of the sale deed, alleging it was executed without valid consideration. The respondents cited approvals from gram panchayat and HMDA, but also acknowledged disputes and exchange of legal notices between the parties. The developer claimed that the complainants sought to evade the remaining payments while demanding possession.
After reviewing the evidence, TGRERA directed the complainants to pay the outstanding balance along with 11.1% interest and instructed the builder to compensate for the delay at 4 per sq ft per month. It further mandated the handover of the villa upon mutual fulfilment of obligations and issuance of a no-dues certificate.
The authority imposed 12.3 lakh penalty on the builder for violating Sections 3 and 4 of the RERA Act and barred further sale or marketing of units without project registration, warning of further action under Sections 59(2) and 63 in case of non-compliance.
152
20
20
