Vatika Limited was ordered by the Haryana real estate regulatory authority (RERA), Gurugram, to refund money to 28 allottees with interest at the set rate.According to the court, if or when the allottees take out a loan, promoter Vatika will also be required to pay the loan amount to the appropriate banks.The RERA (Regulation and Real Estate Regulation and Development (RERA) court has ruled that allottees are entitled to a refund of the amount paid by them against the allocation of their units with interest at the prescribed rate of 10.25% per annum.
The court stated, "However, some of the allottees raised loans from the various financial institutions and the same was paid to the promoter while depositing sale consideration of the allotted units.The promoter would be required to repay the amount deposited by the allottees who obtained loans against their allotted units, along with interest accrued to date, to those financial institutions before returning any remaining funds, if any, to the allottees.
The case relates to Vatika Limited's "Turning Point" residential development, which is situated in Gurugram's sector 88-B. For the construction of the residential group housing project Turning Point, Vatika Limited received a licence from the DTCP in 2013."After its launch by the promoter, units in the same were distributed to various people on various dates, and that, too, for variable sale consideration," the court noted.
Despite the fact that the registration certificate's validity date of September 15, 2025, was listed as the deadline for the project's completion and the offer of possession of the assigned units, there has been no physical progress on the site for more than four years since the booking.As a result, 28 project allocators approached the authority, citing the project's abandonment and requesting a refund of the money they had already paid.
The authority declared an investigation into the situation while taking the complaints into consideration
"There is hardly any progress regarding development, such as the construction of the site," the inquiry report stated. "Such offences are unacceptable," said Dr. KK Khandelwal, chairman of RERA.
In the meantime, Vatika issued a statement saying, "Vatika has invested roughly 168 crores in the project, but there is no access because of the ongoing Dwarka expressway construction.Additionally, the GMDA has not built any internal or sector roads.As a result, for the past few years, the company has not raised any instalment payments.Along with refunds, the business has also moved clients to other projects with their consent.
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