• Delayed in delivery of flat due diversion of funds to speculative

Delayed in delivery of flat due diversion of funds to speculative

I wish to bring to your notice that as per agreement made on 23rd of January 2010 at Hyderabad the total cost of the flat no E-011 in Lake Front Project is Rs.7,16,310/- plus the amenities’ / modifications.
From the ANNEXURE I it is clearly established that I have paid almost three times the cost.
As per agreement the said project is to be completed in all respects and handed over in 18/20 months with all due certificates such as Occupancy Certificate from Municipal Authorities .
All of monies have been paid as per your demand/threats, and on time which always included the clause to impose penalties of 15% on the amounts.
There is a considerable delay in handing over the said property i.e. 48 months to be precise where the amounts paid have been diverted for speculative purpose there by creating many ventures in Andhra Pradesh and Karnataka and developing a swanky more than international quality office hence creating abnormal loss to me in terms of rent receivable/paid.
I wish to bring to your kind notice that you have collected Flat Registration amount in excess of originally
mentioned amount of Rs.40875/-. Though you have collected Rs.40875/- from the bank, you have again
collected Rs.71000/- from me vide ICICI cheque No. 485564 dated 18/03/2013
I have visited the site/flat where the main door and frame is of inferior quality (cheap plywood with
plastic layer on top for the main door and frame) not Teak wood as promised in your broucher and
agreement. All of the other doors and frames are of substandard quality. All the costly Single Lever
Concealed Diverter plumbing are unserviceable (which is completely covered with concrete) as the
concerned plumber is not qualified/experienced to do so. (I am using the same since 1994 which is easily serviceable where the tile can be removed easily which is fixed with bolts). The scaffolding is still there in the ‘E’ Block on enquiry I was told some residual works are still in progress thereby the block is not qualified for occupancy yet you say I may occupy at my own risk.
In the light of above facts I insist on refund of excess amounts collected to the tune of Rs.1.00,000/- and pay me an additional amount of 15% on the total amount for the delayed period. (approx. Rs.583486.50) totaling Rs.683486.50)

C Manasa (Lake Front E11)
4-180/182 Sri Sai Baba Officers
Sainikpuri Secunderabad

K Ravinder Reddy (MD)
Janapriya Projects
D No 8-2-120/86 & 8-2-120/86/1,
Keerthi Towers, Opp RBS,
Above Allen Solly show room,
Road No 2 Banjara Hills,
Hyderabad 500034

SL NO   DATE           AMOUNT       CHEQUE NO              PARTICULARS
1         22-11-2009   Rs.50,000.00    485555                    INITIAL PAYMENT
2        13-12-2009    Rs.2,51,455.00 485556                    CONFIRMATION PAYMENT
3        27-02-2010    Rs.7,500.00      2550259                  FOR FRANKING AND REGISTRATION
4        06-03-2010    Rs.8,40,000.00 394285                    FIRST INSTALMENT BY BANK 
                                                                                          INCLUDING REGISTRATION AMIOUNT
5        30-04-2011    Rs.1,91,430.00 DD106542               SECOND INSTALMENT BY BANK
6        18-03-2013    Rs.71,000.00    485564                    ADDITIONAL AMOUNT FOR
7        18-03-2013    Rs.1,50,000.00 485565                    FINALL PAYMENT MADE ALL
                                                                                          AMENETIES INCLUSIVE
8        18-03-2013    Rs.15,000.00                                    KUTCHA RCPT ADD CASH TAKEN FOR
9        09-05-2013    Rs.3,68,570.00 DD                           FINAL PAYMENT MADE BY BANK AFTER

                    TOTAL Rs.19,44,955.00
Asked 2 years ago in Property Law from secunderabad, Telangana
Religion: Hindu
1) take possession of flat from the builder under protest 

2) then move consumer forum against builder for deficiency in service and seek refund of  excess money paid by you with interest 

3) also seek interest for delay in delivery of possession . 

4) replacement of sub standard doors and other fittings in the flat 

5) compensation for mental torture undergone by you 
Ajay Sethi
Advocate, Mumbai
44458 Answers
2585 Consultations

5.0 on 5.0

1. you should file a case before the consumer forum for compensation and performance of contract as par the promise made therein. 

2. you should take possession but must give him a notice and state all your protest therein to show that your act of taking possession does not mean that you rectify his(builder) wrong act.

3. Builder is bound to pay interest on the money paid bu you during delay of project. 

4. A written contract is valid document and  liability of the parties shall be fixed according to it. You must claim compensation for delay caused by him in completing construction work. 
Shivendra Pratap Singh
Advocate, Lucknow
4989 Answers
78 Consultations

4.9 on 5.0

Why did you pay money in excess of what you were required to pay under the original agreement? Did you pay under protest? Be that as it may, once you paid the excess amount without protest then it is almost impossible to recover it except if there is a declaration of breach of contract. You can issue a legal notice for cancellation of agreement to demand the refund of amount in entirety from the builder. If the builder does not refund the amount then a suit for declaration and recovery can be filed against him.
Ashish Davessar
Advocate, Jaipur
22966 Answers
631 Consultations

5.0 on 5.0

What is your question ?
What do you want to clarify by posting the above question?
You have actually written to the builder and reproduced the letter here without asking any question about it leaving it to the lawyer of this forum to guess your question and give an opinion or answer accordingly(?)
Well, you are seeking damages and interest for the delay to handover possession(?)
You have to refer to the sale agreement already executed for the governing clauses in this regard and can point out the violations by the builder contradicting the conditions of agreement by referring to the particular clause.
If you dont get a reply or the builder fails to to comply with the demand made, you may drag him to the consumer forum seeking compensation as well as recovery of the costs for the damages pointed out. 
T Kalaiselvan
Advocate, Vellore
34582 Answers
373 Consultations

5.0 on 5.0

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