In response to a MahaRERA (Maharashtra Real Estate Regulatory Authority) order, the revenue authorities in Thane have successfully seized a flat belonging to a promoter associated with the Green World project in Airoli. The promoter had failed to fulfill their commitment of delivering a flat valued at Rs 80 lakh, which had been booked by a senior citizen from Andheri back in 2013. The promised possession date for the flat was 2018.
Not only did the promoter fail to deliver the flat to the rightful homeowner, but they also went on to sell it to another individual. To complicate matters further, the promoter resorted to legal measures by filing appeals with the Maharashtra Real Estate Appellate Tribunal (MREAT) and eventually the High Court. However, their appeals were ultimately dismissed by the High Court. As a result, the authorities initiated attachment proceedings to recover an amount exceeding Rs 1.3 crore.
The complainant, Tajbar Aslam Saudagar, had booked a flat in the project in 2013. They had paid a substantial amount of Rs 78,47,000, which accounted for 90% of the total cost, to the builder. The builder had assured the complainant of possession by 2018. However, the promoter failed to deliver the promised flat and, astonishingly, sold the same flat to a third party in August 2020. In response, the complainant lodged a complaint with MahaRERA in May 2021, seeking a refund of the amount paid along with accrued interest. Since the promoter neglected to submit a reply, MahaRERA proceeded with the case ex-parte.
In February 2022, Vijay Satbir Singh, a member of MahaRERA, issued an order stating that the complainant had been deceived by the promoter. It was also noted that the promoter had violated the provisions of the Maharashtra Ownership of Flats Act (MOFA) by accepting more than 20 percent of the total amount without entering into a proper agreement for sale. Consequently, MahaRERA directed the promoter to refund the complete amount paid by the complainant, including applicable interest.
Advocate Nidhi Singh, a partner at India Law LLP, who has been representing the complainant, stated that as the promoter, Mount Mary Builders, failed to adhere to the order, the complainant approached MahaRERA in July 2022 to report the non-compliance. In response, MahaRERA issued recovery warrants in August 2022, aiming to ensure the refund of the due amount along with the accrued interest.
In March 2023, the developer made an appeal to the Maharashtra Real Estate Tribunal (MREAT) challenging the MahaRERA order. However, the MREAT dismissed the promoter's application seeking condonation of the delay.
After the District Collector restarted the revenue recovery proceedings, Mount Mary, the promoter, appealed to the Bombay High Court, contesting the MREAT order. Subsequently, the High Court issued an interim relief order, contingent upon the appellant submitting an undertaking stating that 50% of the total amount specified in the challenged order would be deposited within two weeks. Later on, the promoter requested an extension to file the undertaking and attempted to halt the execution. However, the Bombay High Court declined to list the matter, resulting in the attachment of the promoter's property, specifically a flat located in the Sonal Apartment at Charai, Thane West. Advocate Singh provided this information.
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