The Karnataka RERA has directed the senior living project developer, Sharadindu State-3 Project of the Sree Senior Homes, to transfer the corpus fund of Rs 62.26 lakh to the concerned residents’ welfare association.
The RERA gave direction to the builder developing the senior living township project called Sharadindu State-3, which is developing Sree Senior Homes near Mandya.
The builder provided the maintenance services from 2016 until the formation of the Residents Welfare Association in 2022, when two phases of the project had been completed.
The builder collected a sum of Rs 4.5 per sft. The society demanded the builder pay 35% of the maintenance expenses expended from 2015 to 2022. Moreover, the builder did not transfer the corpus fund to the society.
Armed with the information, society moved the RERA for justice.
The builder argued that the first phase of the project does not come under the purview of the RERA Act as the first phase has been completed prior to the passing of the Act. The builder argued that only the third phase of the project comes under the purview of the Act.
The RERA going into the evidence described the project as an ongoing project, not as a project under implementation in phases.
The Master Plan from 2012 and the commencement certificate lacked unit definitions for phase-wise development. The builder did not inform the RWA of the undivided share. Therefore, the project is being regarded as an ongoing project, the RERA said.
Moreover, the builder has not provided amenities like an intercom, a swimming pool, a senior living hobby room, and so on.
In this backdrop, the developer should transfer the corpus fund within 60 days of the passing of the order and also provide the promised amenities within two months, according to the RERA.
