The District Consumer Disputes Redressal Forum has directed a builder to pay Rs 20,000 as compensation for delay in the construction of a flat. The forum also directed A&A Builders to scrap their demand of Rs 3.75 lakh, which the firm wanted as the “increased construction cost”.

The complainant Randeep Singh Oberoi stated that he had booked a flat in Golf View Towers, Mohali, to be developed by A&A Builders. He paid Rs 75,000 as the booking amount in February 2007. He was issued an allotment letter, stating the price of the apartment as Rs 33 lakh, and the payment schedule. Oberoi was also offered a cash discount of Rs 2 lakh if he made a lump payment. The complainant opted to go in for lump payment and took a loan of Rs 31 lakh.

The builders were to complete the apartments by December 2008 but till the first week of August, construction had not even started. Oberoi then received a letter from Hill View Promoters demanding Rs 3.75 lakh more due to the increased construction cost.

As the project was already delayed, the complainant served a legal notice to the builders asking them to compensate for the delay and other costs, but to no avail.

In its reply, A&A Builders stated that work on the project was on in full swing and the delay occurred because the Punjab Government withdrew permission regarding the change in land use. Further, No-Objection Certificates issued to the builders were cancelled by the Punjab Pollution Control Board on the directions of the High Court.

... contd.