RERA Directs EVK Projects To Refund Money to Homebuyer
Developer failed to prove that construction had begun at unregistered Kollur project
Hyderabad: Telangana Real Estate Regulatory Authority (TG RERA) has directed EVK Projects to refund Rs 9.36 lakh to a homebuyer with 10.70 per cent annual interest after finding that the developer failed to establish that construction had commenced at its EVK Avasa project in Kollur.
The authority also directed its secretary to investigate the project after finding that EVK Avasa was not registered with it.
The order followed a complaint filed by N. Sneha, who entered into an agreement of sale with EVK Projects in November 2021 for a 1,170-sq. ft two-bedroom flat in the project. Of the agreed sale consideration of Rs 37.44 lakh, she paid Rs 9.36 lakh.
The complainant stated that the developer had promised to complete the flat within 36 months. However, the project had not commenced, and there was no major construction activity at the site. The developer also failed to provide documents showing that the required approvals had been obtained.
RERA noted that EVK Projects failed to appear before the authority despite repeated notices and was set ex parte. The developer did not submit photographs, progress reports, approvals or other documents to establish that construction had commenced or progressed.
The authority held that the 36-month completion period could not be used to indefinitely delay the homebuyer's rights, particularly when the developer had failed to establish that the required approvals had been obtained.
Invoking Section 18 of the RERA Act, the Authority directed EVK Projects to refund Rs 9.36 lakh along with interest at 10.7 per cent per annum from the date of payment until the refund was made. The amount must be paid within 30 days of the order.
RERA also directed its secretary to investigate whether the unregistered project had been advertised, marketed, booked or sold without prior registration and to collect the necessary records and information.