RERA or no, it’s still a rare realtor who delivers
Builders are giving property buyers a tough time. This is evident from the cases disposed of by the State Consumer Forum this year. Of the 462 cases cleared till May, over 200 are against builders who failed to deliver basic amenities, execute sale deeds and who have delayed handing over flats.
“The number of real estate cases is high as builders promise something and deliver something else,” said advocate Sudnyata, who has dealt with a number of such cases.
The cases involving high profile projects like Alien Space Station, VVR Housing and Aditya Builders have languished with the forum for years. In some cases the projects were stalled due to lack of environmental clearances and illegal construction issues. Mr Thakur Rajkumar Singh from the Human Rights and Consumer Protection Cell said problems like these could have been addressed early with a stronger law in place.
It was only recently that the Real Estate Regulation and Development Act was passed to streamline the sector. Even here, the rules have not been framed by the state government while the Act has been notified in several states. But activists and lawyers who see such cases regularly have their own doubts about its effectiveness.
Headless consumer forums have added to the woes of the complainants. “The consumer courts must dispose of the cases in 90 days but that is not happening,” said Mr Rajkumar Singh.
The pendency rates in State Consumer Forums have always been higher than the number disposed. In 2016, 21 cases were disposed of, and cases filed and restored were 32,477.
But judgments have benefited many, though with a delay. Mr K. Srinivasa Chary of Ramchandrapuram nearly lost his investment of `2.7 lakh to Suvarnabhoomi Builders after deciding to buy a plot in Shadnagar. The forum ruled in the consumer’s favour last year.
But, even until February 2017, four years after he filed the case, he was denied the compensation. It took another execution petition before he got his money. “It was thanks to my lawyer that I got the money back. The first two years were spent on fulfilling formalities. I got justice after five years,” he said.