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Times of India·3 min read·medium

Builder took Rs 20 lakh but never built the apartment; homebuyers win refund with interest

T
TOI LEGAL DESK
Builder took Rs 20 lakh but never built the apartment; homebuyers win refund with interest
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The West Bengal State Consumer Disputes Redressal Commission ordered a Kolkata-based developer to refund over Rs 20 lakh to a couple after a housing project remained stalled for years. The court ruled in favor of the homebuyers, citing deficiency in service after the developer failed to initiate construction.

Why it matters

This case highlights the legal protections available to homebuyers against real estate developers who fail to deliver projects, emphasizing consumer rights in the Indian property market.

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NEW DELHI: The West Bengal State Consumer Disputes Redressal Commission, in its July 13 order, has directed a Kolkata-based developer to refund Rs 20,29,980 to a couple who cancelled their flat booking after construction remained stalled for years, holding the developer liable for deficiency in service.What was the issueSambit Das and his wife Dipali Das had signed an agreement in March 2013 to buy a 1,165 sq ft flat, along with a car parking space, in the "Sanjeeva Orchards-II" project being developed by Vedic Conclave at Mahishbathan, under the New Town (formerly Rajarhat) area of North 24 Parganas. The total price was Rs 49.60 lakh, to be paid in 11 instalments, according to the court order.The couple paid Rs 20,29,980 towards the flat. After that, the developer stopped raising further payment demands suddenly. When the couple tried reaching out, their calls went unanswered.

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