RERA Directs BVR Infra Developers To Either Register An Alternate Plot Or Refund Rs 15 L Along With 11% Interest

Hyderabad:The Telangana Real Estate Regulatory Authority (RERA) has directed BVR Infra Developers Pvt. Ltd to either register an alternative plot or refund over Rs 15 lakh to the buyer along with 11 per cent interest, after the builder failed to honour the sale agreement. The ruling came on a petition filed by Purshottam Ketepally, who had booked Plot No. 92 in the SV Golden City 5 project in October 2022 and made an initial payment of Rs 1.08 lakh and an additional Rs 4.09 lakh while signing the agreement of sale on December 7, 2022.

He said he later discovered that the plot was under mortgage which made it ineligible for immediate registration. After waiting for months, the builder assured him of an alternate plot. Trusting this promise, the buyer made a further payment of Rs 10 lakh, bringing the total investment to Rs 15.17 lakh. Despite multiple reminders the builder did not respond or take any steps to register the property.

After examining the case, RERA noted that the builder had violated Section 11(4)(a) of the RERA Act by failing to fulfill the obligations of the sale agreement. The authority observed that giving verbal assurances did not fulfill legal obligations and criticised the builder for not issuing an allotment letter for an alternative plot.

RERA stated that if an alternative, habitable plot is available within the same project, it should be registered in the buyer’s name within 30 days. If not the entire amount must be refunded along with 11 per cent interest from the dates of each payment. Failure to comply with the order will attract penalties under Section 63 of the RERA Act.