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HomeNewsBusinessReal EstateBengaluru’s Mantri group tells SC it has given possession in its delayed project, but flats don’t have an OC

Bengaluru’s Mantri group tells SC it has given possession in its delayed project, but flats don’t have an OC

Buyers said that they could not take possession of their flats because contrary to what the developer had told the apex court, many flats were not ready for possession as they did not have an OC, which is mandatory prior to handing over possession.

May 03, 2024 / 08:31 IST
Real Estate

In November 2023, the SC had passed an interim order directing the developer to hand over possession of the Mantri Serenity project to homebuyers

In a recent Supreme Court hearing, Bengaluru-based developer Mantri Castles Private Ltd told the apex court that it had offered possession to buyers of flats in its delayed Mantri Serenity project. However, Moneycontrol found that several apartments were yet to obtain occupancy certificates (OCs). As per  RERA rules and bylaws of the Bruhat Bengaluru Mahanagara Palike (BBMP) — the city's municipal corporation — OCs are mandatory before possession may be offered.

On April 30, the Supreme Court (SC) took cognisance of the issue based on submissions made by Senior Counsel Bishwajit Bhattacharyya, who is representing the homebuyers.

About 48 homebuyers from the delayed project had approached the SC after the developer failed to offer possession between 2015 and 2019.

The company told the court on April 2, 2024, that letters of possession had been issued to all buyers, yet several had not taken possession of their flats.

Following this, the court ordered the homebuyers to visit the project on April 16 and take possession from the developer.

However, Moneycontrol has found that at least three homebuyers who visited the project were offered possession even though the flats did not have an OC.

"While towers 4 and 5 have partial OCs from the Bengaluru Development Authority (BDA), towers 1 and 3 do not have any OC. Thus, homebuyers could not take possession on April 16," said a homebuyer who did not wish to be named.

Another homebuyer said that despite the SC ordering the handover, the developer had unilaterally cancelled his agreement. During the April 30 hearing, the developer told the SC that the flat was still available for possession. The apex court has ordered a status quo on the apartment until further orders.

Background

Buyers had initially moved the National Consumer Disputes Redressal Commission (NCDRC) when the developer did not deliver their homes within the promised timeframe. Based on the NCDRC's advice, 48 buyers who had booked flats between 2013 and 2016 for Rs 75-95 lakh, approached the Supreme Court.

In November 2023, the SC passed an interim order directing the developer to hand over possession of the Mantri Serenity project to homebuyers, Moneycontrol had reported.

"Homebuyers have still not been given possession despite having paid about 100 percent of the amount. The court directs that the concerned flats/property/premises be handed over to the appellants within one week," the order dated November 7 said.

A list of questions has been sent to the Mantri group and the story will be updated if they respond.

Souptik Datta Reports on Bengaluru, Hyderabad, and Chennai. Btw, curiosity never kills the cat. You can reach me on souptikdatta@nw18.com
first published: May 3, 2024 08:30 am

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