Crescent seeks Rs 105 cr damages from Shapoorji Pallonji

Shapoorji Pallonji Company today refuted the allegations levelled against them in a civil suit filed by Crescent Builders seeking damages of Rs 105 crore for failing to complete construction of a building in south Mumbai within the stipulated time period.

Written by Agencies | Mumbai | Published: May 21, 2012 9:21 pm

Shapoorji Pallonji Company today refuted the allegations levelled against them in a civil suit filed by Crescent Builders seeking damages of Rs 105 crore for failing to complete construction of a building in south Mumbai within the stipulated time period.

Shapoorji Pallonji group (SPCL) refuted the allegations stating it was imperative and necessary for Crescent builders to pay the Capitalized Value to the civic body. “On account of CB’s failure to comply with its obligations,including the obligation to pay capitalized value aggregating Rs 16.76 crore,the civic body issued stop-work notice on May 17,2008,” the company said in a statement issued here today.

The statement said SPCL had complied with all the clauses of the Memorandum of Understanding (MoU) with CB dated January 8,1997,for redevelopment of a property called “Janata Nagar” at Tardeo in south Mumbai.

“SPCL completed the construction work of the rehab buildings,a school and the sale building. Pursuant to this,it rehabilitated the tenants to the rehab building for which Occupation Certificate was also obtained from the corporation.

SPCL had completed its scope of work as per the MoU,” the statement said.

According to SPCL,CB had sought to illegally terminate the agreement with it thereby depriving SPCL of its legitimate share of saleable area in the sale building. “SPCL then filed a suit challenging the illegal termination. The High Court by its orders dated March 14 and 17 this year has passed protective orders in favour of SPCL,” the company said.

“It appears the CB has,as a counterblast to the legal action initiated by SPCL,filed the present suit seeking damages,” the statement said.

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