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In the case of Govindarajan Sankaran vs. Orbit Enterprises and Indian News Paper Society (Complaint No. CC006000000089592), the complainant has filed this complaint seeking directions from MahaRERA to the respondents to pay interest for the delayed possession under the provisions of section 18 of the Real Estate (Regulation & Development) Act, 2016 (hereinafter referred to as ‘RERA’) in respect of booking of a commercial premises/ office nos. 704 & 705 in the respondent’s registered project known as “Indian Newspaper Society” bearing MahaRERA registration No. P51800006763 located at Bandra Kurla Complex, Mumbai.

Facts of the case: It is the case of the complainant that, by virtue of a Development Agreement dated 14/02/2008 executed between the respondent No.1 and respondent No.2, the respondent No.2 had granted 40% of development rights with respect to the said project land and thereafter, after additional FSI being offered by the MMRDA, the respondent no.1 was in urgent need of some finance to fulfil their commitments, so it offered the said commercial unit bearing no. 704 to the complainant, for a total consideration of Rs. 7,49,00,000/- out of which the complainant paid Rs.4,08,00,000/- before the execution of the Agreement for Sale.

Thereafter respondent No.1 executed a MOU on 07/01/2010 for the allotment of the said two commercial units nos. 704 and 705 to the complainant. The complainant stated that the MOU contains the plan which shows the areas of the aforesaid two units and also contains the date of possession as 31/12/2012. Although the complainant had paid approximately 55% of the total consideration before the receipt of the commencement certificate, the respondent No.1 avoided execution of the “Agreement for Sale” till 27/08/2013. Thus, there was a delay of nearly 45 months for the same.

Wherein the respondent no. 1 has agreed to handover possession of the said units on or before 31-12-2014. However, the record shows that the same were not handed over to the complainant on the said agreed dates of possession mentioned in the said agreements for sale. Thereby the respondent no. 1 has violated the provision of section 18 of the RERA. Hence, the complainant is entitled to seek reliefs of interest for the delayed possession under section 18 of the RERA as per the said agreements for sale.

Order: In an order dated 10th May 2022, since the OC has already been obtained for this project the respondent no. 1 is directed to handover possession of the said units to the complainant within a period of 15 days from the date of this order.

The respondent no.1 promoter is further directed to pay interest for the delayed possession to the complainant from 1-05-2017 till the actual possession for every month on the actual amount paid by the complainant towards the consideration of the said units at the rate of Marginal Cost Lending Rate (MCLR) of SBI plus 2% as prescribed under the provisions of section 18 of the RERA and the Rules made thereunder.

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