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Building additional floors is immoral practice

– Smondo Gachibowli to build additional floors?

– It causes loss to buyers

– Clarifies Consumer disputes’ redressal commission

– PBSR Developers asked to pay compensation to buyers

Real estate developers keeping with themselves the right to develop additional floors to the existing building is a unilateral rule imposed by them on the buyers. It is detrimental to the interests of the flat buyers, feels the Telangana State Consumer Grievances’ Redressal Commission. The commission remarked that the rule would cause loss to the buyers.

On the pretext of effecting changes in the building construction plan, the developers would raise additional floors, the commission observed and called it as immoral. The rule is not at all justified, it said. The developer who frames the agreement includes the unilateral rule. The buyer would not be in a position to say no to such rules, it said calling it as immoral trade. Giving its decision in a matter related to the PBSR Developers Pvt Limited, the commission directed the developer to adjust the flat value as per the UDS share reached in accordance with the first agreement. Further, it levied a fine of Rs 5 per sft for the delaying n execution of the project and a compensation of Rs 2 lakh for causing the flat buyer mental agony and Rs 25,000 towards the expenses.

In 2014, T Vasanta Kumar and his father bought a flat in Smondo Gachibowli project of the PBSR Developers. The project should be through by 2016. But it was delayed on the pretext of building additional floors. Vasanta Kumar and his father approached the commission for not handing them over flats even two years of completing the deadline. As per the agreement, they were supposed to pay Rs 49.64 lakh, but they have already paid Rs 44.97 lakh. Their block has permission to build two cellars, stilt, and 16-floors. However, the builder took permission to raise an additional five floors and sent them a supplementary agreement, which they refused to sign. The agreement did not mention the UDS share.

The builder said that he sold the flat for Rs 55.45 lakh, but the buyer is due to pay the builder Rs 10 lakh. The builder also said that the company is yet to get its dues cleared from the state and central governments. The construction was delayed due to rains and shortage of sand and denied having violated any rules. The commission asked the builder to pay Rs 5 per sft since July 2017 as rent till handing over of the flat since the builder had not handed over the flat in spite of buyers paying 90 per cent of the amount. It also asked the buyers to pay Rs 2 lakh for causing mental agony and Rs 25,000 towards other expenses.

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