Relief to tenants as RERA directs developer to sign undertaking for date of completion

The Maharashtra Real Estate Regulation Authority (MahaRERA) provided relief to tenants of a housing society by directing a developer to file an undertaking on record stating the date of completion of a redevelopment project. The RERA authority acted on a complaint filed by secretary of the society for no bank guarantee and agreement of sale signed with the tenants by the developer. The developer also put the revised date of possession without the consent of the tenants.

The complainant, Sethuraman, who is the Secretary of the Amardeep Co-operative Housing Society has filed the complaint seeking directions to the developer Akshay Shtapatya has to issue bank guarantee and to pay all outstanding penalties.

“The developer had charged increased rent arrears for the period between May 2017 to June 2018 to the tenants living in the transit accommodation,” said Sethuraman.

An agreement was executed in March 2011 and the possession was due in April 2017.

“The developer had constructed only six of the total 13 floors and it was only on the exterior part of the building during the last six and half years. The revised date of completion mentioned by the developer is December 2018 without the consent of the tenants,” stated Sethuraman. The complainant also mentioned that there was no bank guarantee and no agreement given to the members.

“Due to delay in the project work, tenants are paying the rent amount for staying in the transit accommodation. Also, there was no clause mentioned in the agreement for escalation of rent at periodic intervals,” added Sethuraman.

During the hearing, the developer sought for an adjournment to file an undertaking on record of the authority stating the date of completion of the project work. The developer submitted the undertaking before the authority stating that he would complete the construction of the remaining portion and handover the possession of the flats to the tenants by September 30, 2018.

The complainant, Sethuraman, who is the Secretary of the Amardeep Co-operative Housing Society has filed the complaint seeking directions to the developer Akshay Shtapatya has to issue bank guarantee and to pay all outstanding penalties