Tribunal sets aside TNRERA's order, accepts homebuyer's association request to retain ownership

"The relief sought by the appellant are all related with the real estate project regarding the delivery of physical possession of Block H and its amenities and other common area are all subject to adjudication. Retaining of Block H and other common areas amounts to the project of the respondent still it is an ongoing project. Both factually and legally the learned Regulatory Authority has not discussed and comes to a conclusion.  Mere acceptance of the version of the promoter alone is not sufficient. Hence this Tribunal comes to a conclusion that the complaint of the appellant is maintainable," TNREAT said in its order.

Inseli Park Owners Association had filed a complaint against Jain Housing and Construction Ltd and its partner Sandeep Mehta with TNRERA. The members of the association had entered into an agreement with the builder to purchase apartments at Jains Inseli Park Project at Padur village. The project consists of 808 apartments along with common amenities and facilities in eight blocks A to H.

"No flats were delivered until 2014 and the ownership of amenities in H block are unlawfully retained by the promoter. The undivided share in the common areas have not been fully conveyed to the purchasers," the association alleged.

However, the promoter claimed that the project was completed before the commencement of the Act and handing over of possession were also completed before the commencement of the Act. Based on this, TNRERA dismissed the complaint by saying that without completion of the project, there is no possibility for taking over the possession of the apartments.

When the association approached with an appeal, TNREAT observed that no signature was obtained from the allotees. Without signature of the allotees for the receipt of the possession, the certificate cannot be construed as a valid one. "The appellant (homebuyers) came forward with the complaint for the relief of compensation, direction to deliver physical possession of Block H and its amenities, common areas and for related reliefs. The above said reliefs can be granted or not, has to be analyzed only after letting in evidence by both sides," the Tribunal observed while allowing the appeal.