RERA Karnataka orders Refund of money with interest
Recently RERA Karnataka In some of the cases against the Builder/Developer who has defaulted in handing over the constructed house, Villa and Apartment the Aggrieved home Buyers have approached the RERA Karnataka Seeking for cancellation of Agreement and Refund of the amount with interest as per RERA provisions.
The home buyers have entered into agreement with the builder/developer in the year 2014-15 and as per the Agreed terms the builder/developer was supposed to handover the possession of the homes within a period of 24 months from the date of Agreement and the hard truth was like any other builder/developer here also there was a default of the builder/Developer and he has not handed over the possession to home buyers who have paid 70 to 80 % of the amount to purchase the home. In the meanwhile there was a dispute between the Builder/Developer and the landowner, the Builder having entered into a registered JDA has defaulted even with the landowners and the quality of construction was very bad that the building would have collapsed within few years of the construction as construction activity was not carried out properly. thus the landowners have got stay in the court. the construction has come to a standstill with no development in the project. Thus the home buyers who had entered into agreement with the Builder/developer came asking for cancellation of Agreement with Builder/Developer and to refund the amount with interest. The RERA Karnataka has after hearing the case issued the orders for refund of the amount with interest at the rate of 10.25% interest on the amount paid by the home buyers.