SC orders Parsvnath to refund Rs.22 crores to 70 home buyers

NEW DELHI: The Supreme Court on Tuesday ordered Parsvnath Developers to refund Rs.22 crore to 70 home buyers in its Exotica project at Ghaziabad for a delay in giving possession of the apartments. A bench comprising justices Dipak Misra, Amitava Roy and AM Khanwilkar asked the company to deposit Rs.10 crore by December 10 with the court. Parsvnath has already deposited Rs.12 crore as directed by the top court in its September 15 order.

“The court noted that the principal amount was Rs.22 crores and not Rs.15 crores as the impression was given on the last date of hearing,“ said ML Lahoty, the lawyer who represented the home buyers. Lahoty said the affidavit filed by the firm before court said principal amount was Rs.22 crore. All 70 home buyers will now start getting refund on pro-rata basis in a few days, he said. The court has yet to take a call on interest component. Next hearing is on December 14.

In an emailed statement, the builder said Parsvnath Buildwell emphasised before the court that it was ready and willing to complete the construction of the project by December, 2017, subject to revalidation of building plans by the Ghaziabad Development Authority. Building plans for Parsvnath Exotica were cancelled by GDA on August 26.  The court also directed issuing of notice to the land owner to refund to customers its share as per the development agreement.

The National Consumer Disputes Redressal Commission in May had asked Parsvnath to refund the entire amount paid by the 70 home buyers in its Ghaziabad project with 12% interest for the delay in completing the project. The real estate developer then appealed the order in the Supreme Court.

Credits ET Realty

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