Interest plea rejected due to possession

Mumbai: The Maharashtra Real Estate Regulatory Authority (MahaRERA) rejected the interest plea of two homebuyers since they had already accepted the possession certificates from the developer.

According to the authority, the interest will only be granted in case of incomplete construction. The authority makes it clear that once the construction is complete and possession is given, section 18 of the MahaRERA Act, which allows interest, ceases to exist.

The complainants Sunil Daga and Manish Kathuria had booked flats in developer Larsen & Toubro’s project Emrald Isle. Both the complainants argued that the possession was promised to them in August 2016 and October 2016 respectively, however till now they did not get the possession. They also claimed that a third homebuyer was given possession in 2017.  

Duos were demanding interest on every month delay under section 18 of the act. According to the order, the developer in response revealed that the possession was given to both in February 2018.  

“There is no denial to the fact that the complainants themselves have passed the possession certificates in favour of the developers showing that they have received the possession of flats booked by them. It is also mentioned therein that local/competent authority has issued the occupation certificate, therefore the possession of the complainants become legal,” reads the final order given by the authority.