TV
In what is becoming an increasingly common tale for Odisha homebuyers, a Bhubaneswar resident has triumphantly claimed good compensation after enduring a prolonged delay in receiving his apartment.
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Bimalendu Pradhan, a resident of the Capital City, had faced a significant setback after booking a flat worth around Rs 93 lakh in 2010 at the expansive Bipul Greens housing project situated opposite AIIMS, Bhubaneswar. The completion was promised by 2015, but as of 2018, the construction was still not finished.
Despite Pradhan's persistent appeals, the builder had provided a possession letter devoid of the essential occupancy certification. The situation took a turn for the better with enforcement of the ambitious Real Estate (Regulation and Development) Act (RERA).
In response, Pradhan had approached RERA in Odisha, seeking justice.
After examining the case, RERA had instructed the District Collector to ensure that Pradhan received his apartment alongside a compensation of Rs 76 lakh concerning the delay. This redress also covered a parking fee refund of Rs 2.5 lakh.
Supreme Court upheld the decision of RERA
The legal saga extended to Orissa High Court, and eventually reached the Supreme Court, which upheld the decision for Pradhan to obtain the apartment and receive the penalty payment of Rs 76 lakh. Additionally, the court mandated the seizure of Bipul Limited's assets.
Further ramifications were evident as the southern India-based developer acknowledged in the Supreme Court the need to compensate 17 other homebuyers, committing to providing them with apartments and executing penalty payments amounting to Rs 13.5 crore for the seven-year delay, as per RERA's decision.
No comments were received from Bipul Limited and the company has maintained silence regarding the court's judgment.
Meanwhile, the real estate associations have sounded a note of caution, suggesting that penalties equivalent to a property's price tag could discourage investment. They stress that timely completion of projects should be prioritised by developers to avoid similar disputes in future.
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“I had purchased a flat at a cost of Rs 93 lakh in 2010. Recently, I got compensation from the builder (Bipul Limited) of around Rs 75 lakh for the delay in possession. I have got the possession of my house because of RERA,” Bimalendu Pradhan said to OTV.
“Except two, the remaining others have also got their compensation,” Pradhan added.
