Unitech defaults on housing project deadline,owners up in arms

So far,not a single flat is fully constructed. The customers say they feel cheated as they cannot withdraw their money now,since the allotments have already been done.

“We are ready to sell off our apartments,but there are no buyers even at half the prices,” alleged a member of the Unitech Habitat Owners Association,an informal group of formed by around 250 investors.

Waving banners and shouting slogans outside the developer’s corporate office,the investors demanded they be let inside the office premises to meet the directors of the project.

“We have not received any communication from Unitech so far about the future of this project,of which not even half is completed. All of us have already paid around 90 to 95 per cent of the prices of the apartments. I am paying almost Rs 8.5 lakh as interest to the bank for the loan I have taken. How can they refuse to meet us?” questioned Jaswin Modgil,who lives in a rented accommodation in DLF phase IV here.

“We have invested our life’s savings in this project. When we came to pay for our flats,we had a red-carpet welcome. Now that we have come here to demand that our money be accounted for,they refuse to meet us,” Jyoti Mahendru,a Gurgaon resident who had invested in the project,claimed.

“Even after almost 95 per cent of the total cost (approximately Rs 450 crore) has been paid,why is the project still pending? This means the funds paid by us flat owners have been deployed either in other projects of Unitech,or in the group’s forays into other fields like telecom and hotels. Courts should take a suo motu cognizance and cancel all the remaining or newly launch projects of this company,” Suman Tyagi,a fashion designer,said.

When those who had gathered outside the office demanded that they be allowed inside,security officials sternly refused.

When they persisted,Unitech officials allowed a handful of members inside the building to meet the head of the group’s customer care department,Rana Banerjee. The meeting,however,remained inconsequential as the representatives’ queries were met with dissatisfactory responses.

The situation went out of control when protestors waiting outside tried to break through the entrance gate; a few even scaled the gate and entered the office premises.

A statement issued by the realtor stated: “Last year,due to the extraordinary circumstances,the construction activities on certain projects could not happen at the required pace,because of which there is some delay in the project. But now the construction on the said project has started at full pace and the company will deliver the apartments to the customers as soon as possible. In addition to that,the company is also committed to pay the penalty as per the stated clause in the agreement to all the customers for the delayed period.”

Launched in 2006,the residential project is expected have around 900 apartments with sizes ranging from 1,690 sq ft (two-bedroom house) to 3730 sq feet (penthouses) over 23 acre at Sector Pi of Greater Noida. The apartment prices range from Rs 60 lakh to Rs 1.25 crore. The total cost of the project had been estimated around Rs 500 crore. Unit holders (combined) claim to have already paid almost 90 per cent of the amount – approximately Rs 450 crore.

The project is also slated to include a children’s park,an event lawn,an open-air theatre,gardens and play courts for recreational activities.