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Man invests over Rs 40 lakh in Sion flat; cheated by real estate firms

The developers failed and neglected to hand over the possession of the flat to Palleri; instead, they allegedly demanded an additional amount of Rs 10.50 lakh as additional development charges/other charges from the complainant

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Consumer Disputes Redressal Commission of Maharashtra has declared Runwal Homes Pvt Ltd and Propel Developers Pvt. Ltd. guilty of deficiency in their services. The builders have been 'severely directed' by the court to hand over a flat to a complainant Rajan Vayalambron Palleri besides instructing the 'builder to pay compensation for mental trauma, inconvenience and the expenses incurred by the complainant within 60 days of the order', which was passed on February 17.

Palleri (67) a transporter had agreed to purchase a flat admeasuring 655 sq.ft. carpet area in ‘Chestnut’ for a total consideration price of Rs 76.45 lakh. As per the complainant, prior to the execution and registration of the above-said agreement, he paid over Rs 42 lakh to Runwal as 54.95 per cent of the total cost towards part consideration and a remaining balance of Rs 34.43 lakh. But the developers failed to hand over possession of the flat to Palleri. Instead, they allegedly demanded an additional amount of Rs 10.50 lakh as additional development charges/other charges from him which was never the agreement to on April 13, 2015.

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