Haryana real estate regulator asks 17 builders to refund Rs 50 crore to homebuyers

In all 300 matters, the homebuyers largely wanted refunds, and that shows the callous attitude of promoters, the authority observed.

The Haryana real estate regulator has ordered 17 builders to refund a total of Rs 50 crore for not delivering housing units on time to homebuyers of various under-construction projects. The Haryana Real Estate Regulatory Authority (HRERA) has issued multiple orders pertaining to these builders directing them to refund homebuyers' money along with interest at the rate of 9.70 percent within 90 days.

The refunds, the orders say, be paid keeping allottees' right to seek compensation and the expenses involved in legal proceedings. The RERA orders have come in the wake of a number of complaints from city-based homebuyers who had moved RERA for refunds after the builders failed to give possession of their housing units within the stipulated time period.

RERA chairman KK Khandelwal said: "The authority has ordered to refund deposited amounts to homebuyers after hearing both the parties -- builders and allottee -- and on finding builders guilty for non-delivery of units as per builder-buyer agreements." "The builders failed to complete the projects and deliver the promised units to homebuyers within stipulated time even after collecting good initial amounts," added Khandelwal.

In July, nearly 300 matters were listed before the authority for adjudication. In 63 cases, the authority ordered refunds with interest at the rate of 9.70 percent. These adjudications pertain to 17 builders and the refund amount is close to Rs 50 crore.

Raheja Developers alone has to refund close to Rs 12 crore to eleven homebuyers, of which one refund is Rs 2.35 crore. In another 15 matters, the authority ordered refunds after a deduction of 10 percent earnest money.

In all 300 matters, the homebuyers largely wanted refunds, and that shows the callous attitude of promoters, the authority observed. "Complainant wanted authority to direct respondent builders to refund their deposited amount with the interest from the respective dates of deposit till the date of refund," reads an order while adjudicating the matter of a complainant Ritu Gupta versus Raheja developers on July 12.

Deciding on Gupta's matter, the authority directed Raheja Developers to refund Rs 29,88,092 -- the amount she had deposited with the builder in two parts at the time of booking in December 2013 a unit in an upcoming project Raheja Navodaya at Sector 92/95 in Gurugram.

The authority also ordered refunds of nearly Rs 6.81 crore while deciding on a bunch of complaints filed by a number of buyers against promoters Samyak Projects, Vatika, CHD Developers, DSS Buildtech and Experion Developers.