TNREAT dismisses appeal of promoter on unauthorised constructions

CHENNAI: Upholding penalty imposed by the adjudicating officer of Tamil Nadu Real Estate Regulatory Authority (TNRERA) against a promoter, who violated building plan permission to construct eight flats instead of six, Tamil Nadu Real Estate Appellate Tribunal (TNREAT) dismissed an appeal filed by the promoter.

R Radhakrishnan, owner of a land parcel in Puliyur village in Egmore Taluk, got necessary building permission to construct 6 residential flats along with 6 covered car parking and 6 two-wheeler parking in 2016 and completed the construction in 2018.

However, the promoter admitted that, by deviating from the approved building plan, he had constructed a residential flat at ground floor and a studio flat at the open terrace. He also contended that the home buyers Malathi Badri and PN Badri physically inspected the entire building and verified the approved building plan.

After being satisfied, the respondents (home buyers) came forward to purchase a flat at the second floor and they did not raise any objections at the time with regard to the unauthorised constructions, the promoter contended.

On the other hand, home buyers alleged that due to the unauthorised residential flat at the ground floor, space reserved for parking was reduced. As a result, the allottees are unable to park their vehicles conveniently. They also alleged that the promoter, by registering settlement deeds in the names of his wife and son, earned a monthly rent of Rs. 30,000 per month as rent from the unauthorised constructions.

Considering the facts, the adjudicating officer awarded compensation of Rs. 4.80 lakh towards opportunity costs, Rs. 1 lakh towards mental agony and Rs. 25,000 towards legal expenses.

Hearing the appeal against the compensation order, TNREAT Coram consisting Justice M Duraisamy (chairperson), Leena Nair (Administrative member) and R Padmanabhan (Judicial member) observed, "The contention of the learned counsel for the appellant (promoter) that the respondents (home buyers) came forward to purchase their flat in the project after physically inspecting the building and after noticing the unauthorised constructions and therefore the respondents cannot turn around and raise any objections now, with regard to the said unauthorised constructions cannot be accepted," and dismissed the appeal at the admission stage.