Splendor Landbase Has Been Ordered By Haryana RERA To Pay A Fine Plus Interest To Home Buyers

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The Haryana Real Estate Regulatory Authority (HARERA), Gurugram, has ordered Splendor Landbase Limited to pay delayed possession charges of 10.6 percent interest to buyers in a commercial project after the developer failed to complete construction and deliver units on time.

“The accused promoter is ordered to pay the stuck possession charges at the approved rate of interest of 10.6 percent per annum for each month of delay from the due date of possession till the obtaining of the occupation certificate (OC) plus two months to the complainant(s),” the order stated.

According to HARERA Gurugram, the incident involved Splendor Trade Tower, a commercial project developed by Splendor Landbase in Sector-65, Gurugram, since 2008.

The Authority also ordered the promoter to pay allottees interest arrears from the due date of possession until its admissibility.

“The promoters shall pay to the allottees the overdue amount of such interest accrued from the due date of possession until its acceptability within 90 days of the date of this order, in accordance with rule 16(2) of the rules.”

A request for a response from the developer did not result in an immediate response. The Authority also directed the allottees to pay the promoter any outstanding dues within 30 days.

The complainants had asked for interest on late payments as well as the cancellation of unit cancellation notices sent to them by the promoter.

The allottees signed buyers’ agreements in May/June 2010. The project was to be completed and allotted units handed over three years from the date of the agreements, or in May/June 2013.

“It is appealed by the complainants that they have already paid a substantial amount against the allocated units, but the respondent-builder has failed to complete the project and offer them possession of the allotted units,”.

The company claimed that after receiving the project’s Occupancy Certificate, it gave the allottees possession of the units. Despite repeated reminders and notices, the allottees did not take possession, forcing the company to cancel the allotments.

“It is important to note that when the allottees visited the project site, they observed a number of variations and alterations in the building plan, in addition to some common areas being encroached upon,” according to the HARERA order.


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