TNRERA orders refund; 12 homebuyers get respite after a decade

CHENNAI: Twelve homebuyers, who are waiting for more than a decade for their houses, have been given a respite as the Tamil Nadu Real Estate Regulatory Authority (TNRERA) has ordered a promoter to refund more than Rs 1 crore to the home buyers with interest.

The homebuyers had booked flats in 'Jeayam's Your Dreams' developed by Jeayam Shelters with Lancor in Adambakkam in 2011 and entered into agreements individually in 2011. As per the complaint, the homebuyers paid advance amount and further amounts.

However, even at the time of filing the complaint in 2020, not even the foundation of the project was laid, the complainants said.

They raised concerns that there was no fixed time and date of handing over of the flats stipulated in the construction agreement. Since the project has not started, the complainants demanded refund which was not acceded by Jeayam Shelters.

However, Jeayam Shelters claimed that he has applied for building plan permission in March 2011 and for permissions from other departments. He admitted that there was some land acquisition proceedings in the land which was main reason for delay in getting required permissions. He also pointed out balance payments to be made by the complainants.

On other hand, Lancor claimed that Jeayam Shelters had conceived the project over the lands to an extent of 1.99 acres and had applied for planning permission from the Chennai Metropolitan Development Authority (CMDA). The planning permission could not be availed as some portion of the land was acquired by PWD and the Highways Department and very eligibility for a multistoreied building over the land became a debatable issue.

Hearing the averments, Sunil Kumar of single member bench, observed that the situation at which the project stands, there is no likelihood to obtain planning permission any sooner and thereby they appears to be no immediate possibility of completion of the project. "It is only appropriate that the complainants are refunded the money paid by them after such an inordinate delay, " he observed.

He directed the Jeayam Shelters to refund to all the complainants more than Rs. 1 Crore with interest along with litigation expenses.