HRERA orders 10.8% interest over decade-long delay at Sector 67 project

Samir and Suman Chitkara booked a 1,572 sq ft Sovereign Floors unit at Esencia in Sector 67 for more than Rs 1.2 crore in 2012. Ten years after the contractual possession date, they are still waiting for the keys.

On August 14, the Haryana Real Estate Regulatory Authority ordered developer Ansal Phalak Infrastructure to pay 10.8% annual interest on the delayed handover from February 21, 2016 until it makes a valid offer of possession. The agreement allowed 36 months for construction and a further six-month grace period.

HRERA said the project has neither secured an occupation certificate nor offered possession, and treated it as an ongoing project under RERA. It directed the developer to clear accrued interest within 90 days, then pay monthly interest before the 10th of the following month.

The developer must offer possession within 30 days of obtaining the occupation certificate and execute the conveyance deed. HRERA also barred it from charging holding charges. Claims for litigation costs and compensation will be decided separately by the adjudicating officer.

The order follows a recent 10.8% interest ruling for four Gurgaon homebuyers.