Goa Rera orders builder to refund Rs 20.5 lakh for delayed flat, imposes fine

Panaji: Refusing to accept the Covid-19 pandemic as an excuse for the inordinate delay in delivering a 1BHK flat, the Goa real estate regulatory authority (RERA) ordered a builder to refund Rs 20.5 lakh to the buyer. The builder, Expat Projects & Development Pvt Ltd, must pay back the money within 30 days along with interest of 11.1% per annum since 2018. RERA also awarded an additional Rs 1 lakh to the purchaser, which the builder must pay within 30 days.

RERA member Vincent D’Silva imposed a penalty of Rs 6 lakh on the builder under Section 61 of the RERA Act, which must be deposited in RERA’s bank account within sixty days. The buyer, an Army colonel, purchased a 1BHK in 2018 by paying Rs 20.5 lakh to the builder. Though Expat Projects & Development promised to hand over the flat in Oct 2020, construction failed to commence even three years after the promised handover date, claimed the buyer.

An agreement for sale dated Nov 29, 2018, which was registered in the office of the sub-registrar on Nov 29, 2018, stands terminated and cancelled, said D’Silva in the order.

Though the builder sought relief on account of the Covid-19 pandemic, the RERA order stated that this reason “will not come to the rescue of the promoter from legal liabilities under the RERA Act” as the rights of the buyer continue to remain valid.

Expat Projects & Development claimed that the flat was ready for possession but failed to produce an occupancy certificate and completion certificate for the residential project.