In a decisive order reinforcing buyer protection, the Telangana Real Estate Regulatory Authority (TG RERA) has directed Tulasi Constructions and Bhuvanteza Infra Projects Pvt. Ltd. to immediately execute, register, and hand over possession of a flat in the Tulasi Lake Front project at Suraram to a buyer who paid the full sale consideration of ₹31 lakh more than two years ago.
The Authority held both companies jointly and severally liable to execute and register Flat No. 103, Block 18, and deliver peaceful physical possession within the stipulated timeframe.
Full Payment Made but Registration Withheld
The complaint was filed by V. Solman Raju under Section 31 of the Real Estate (Regulation and Development) Act, 2016, stating that despite paying the entire agreed consideration of ₹31,00,000, the developer deliberately delayed registration and possession.
The buyer initially entered into an Agreement of Sale dated December 24, 2020, with Bhuvanteza Infra Projects Pvt. Ltd., which acted as the marketing channel partner. Later, a second agreement dated October 17, 2022, was executed by Tulasi Constructions acknowledging receipt of the full sale consideration through the marketing partner.
Despite these agreements and full payment, the flat was neither registered nor handed over within the committed period.
Violation of RERA Timeline
The project received building permission on January 21, 2022, and secured RERA registration on April 4, 2022. As per the agreed terms, possession was to be delivered within 24 months from registration, which expired on April 4, 2024.
TG RERA observed that the failure to execute the conveyance deed and hand over possession even after the expiry of the committed timeline amounted to a clear breach of contractual and statutory obligations.
Promoter Cannot Escape Liability
Tulasi Constructions argued that there was no privity of contract with the complainant. However, TG RERA rejected this defence, noting that both agreements and payment receipts clearly established the involvement of both respondents.
The Authority emphasized that internal financial disputes between a promoter and its marketing agent cannot defeat the statutory rights of an allottee. Obligations under Section 17 of the Act to execute and register the conveyance deed are mandatory and cannot be delegated or avoided.
Pattern of Non-Compliance Observed
The Authority also noted previous violations involving Bhuvanteza Infra Projects Pvt. Ltd., including a penalty of ₹8.57 lakh and a declaration as defaulter in another complaint in July 2025.
TG RERA cautioned that it would not tolerate deliberate indifference or attempts by promoters to shift responsibility through internal arrangements.
Conditional Directions on Mortgage Status
The earlier agreement referred to the flat as a “mortgaged” unit. However, TG RERA found no conclusive evidence of an active encumbrance on record and issued conditional directions:
If no subsisting mortgage exists, the respondents must execute and register the Sale Deed within 30 days from the date of the order.
If the flat is under mortgage, Tulasi Constructions must first secure its release and complete registration within 15 days from the date of such release.
Both respondents remain jointly and severally responsible for compliance.
Warning of Penalty
TG RERA warned that failure to comply within the stipulated timelines would attract proceedings under Section 63 of the Act for non-compliance, along with further regulatory action.
The complaint was accordingly disposed of with these directions.
