scorecardresearch
Follow Us:
Friday, September 18, 2020

Bengaluru project: Top court asks builders to compensate flat owners for ‘gross delay’

The court said this amount “shall be in addition to the amounts which have been paid over or credited by the developer at the rate of Rs 5 per square foot per month” as compensation.

By: Express News Service | New Delhi | Updated: August 26, 2020 8:29:29 am
The builders have to pay the amount in one month, “failing which they shall carry interest at the rate of 9 per cent per annum until payment”.(Representational Image)

The Supreme Court on Monday asked two builder groups to compensate flat owners in Bengaluru for the “gross delay” of “two to four years” in completing construction and for not building some of the promised amenities.

A bench of Justices D Y Chandrachud and K M Joseph asked DLF Southern Homes Pvt. Ltd. and Annabel Builders and Developers to pay 6 per cent simple interest per annum to each of the more than 150 appellants “on the total amounts paid towards the purchase of the respective flats with effect from the date of expiry of thirty-six months from the execution of the respective ABAs (Apartment Buyers Agreement) until the date of the offer of possession after the receipt of the occupation certificate”.

The court said this amount “shall be in addition to the amounts which have been paid over or credited by the developer at the rate of Rs 5 per square foot per month” as compensation.

The builders have to pay the amount in one month, “failing which they shall carry interest at the rate of 9 per cent per annum until payment”.

The matter related to a project called Westend Heights at New Town, DLF, BTM Extension at Begu, Bengaluru. The project was being developed in a 27.5 acre area and was to consist of 1,980 units, spread across 19 towers each consisting of a stilt and 18 floors.

The project was to start in 2009 and be completed in 36 months. However, there were several extensions.

📣 The Indian Express is now on Telegram. Click here to join our channel (@indianexpress) and stay updated with the latest headlines

For all the latest India News, download Indian Express App.

0 Comment(s) *
* The moderation of comments is automated and not cleared manually by indianexpress.com.
Advertisement
Advertisement
Advertisement
Advertisement