Refund Ordered for Delay and RERA Non-Compliance in Project

By /

Refund Ordered for Delay and RERA Non-Compliance in Project

Upon thorough consideration of the case facts, arguments, and relevant legal provisions, the Rajasthan Real Estate Regulatory Authority (RERA) finds that the project “SAMANVAY RIVERVIEW” developed by Modest Infra Limited does indeed fall under the jurisdiction of RERA and requires registration. This conclusion is based on the following key points:

Lets understand the matter:

  1. Project Classification:

    • The project is defined as a group housing project, which includes multiple dwelling units (in this case, villas) with shared amenities. As per the Agreement to Sell, dated 29.05.2013, and confirmed by the project’s layout plan approved in August 2010, this project is clearly intended as a residential development rather than a simple plotted scheme.
    • The Authority previously ruled on 25.08.2022 that this development type does not qualify for registration exemption.

  2. Exemption Criteria Not Met:

    • The respondent’s claim that the project is exempt from registration due to the issuance of a lease deed in 2014 by the Urban Improvement Trust, Bhilwara, is not valid. Exemptions under Rule 4 of the RERA Rules, 2017, especially explanation (vi), pertain specifically to plotted development schemes. Since this project involves villa units in a group housing format, it does not meet the criteria for exemption.
    • Furthermore, the respondent failed to provide documentation proving either a completion certificate prior to RERA enactment or that 60% of units were sold, which could have qualified it for exemption.

  3. Delay in Possession:

    • According to Clause 17 of the Agreement to Sell, possession of the villa was to be delivered by May 2017. The failure to deliver possession by this date, without substantial justification, strengthens the case for project registration as an “ongoing project” and entitles the complainant to relief under the RERA Act.

  4. Relief to the Complainant:

    • In light of the findings, the complainant’s request for a refund of Rs. 21,76,000 along with interest is justified. The respondent’s counter-arguments regarding delayed payments by the complainant lack adequate contractual grounds to deny the refund.

Order: The RERA Rajasthan Authority directs the respondent to:

  1. Refund the complainant the sum of Rs. 21,76,000 with interest from the dates of payment.
  2. Pay any additional compensation and costs, as deemed necessary, for the undue delay in possession.

This decision upholds the principles of RERA to ensure transparency, accountability, and fair treatment for real estate consumers as argued by advocate in jaipur.

Scroll to Top