The Commission also directed the firm to pay ₹25,000 to the complainant couple towards the cost of the litigation.
Image taken during the demolition of the flat complex in Maradu. (Creative Commons)
A district consumer forum in Kerala has directed a private builder to pay over ₹20 lakh to a couple to whom the realtor had sold a flat at Maradu in Kochi, which was later demolished on orders of the Supreme Court.
The Ernakulam District Consumer Disputes Redressal Commission directed the Holy Faith Builders and Developers to refund over ₹17 lakh to the couple as balance consideration of the flat, and also ₹5 lakh as compensation for the deficient service and unfair trade practice on the part of the realty firm.
The Commission also directed the firm to pay ₹25,000 to the complainant couple towards the cost of the litigation.
The Commission said that the apex court had found that the apartment complex constructed by the builder had violated the law.
“This unequivocally establishes that the first opposite party’s (builder) actions amount to a deficiency in service and unfair trade practices,” it held.
The consumer forum further held that the firm “inadequately performed the service as contracted with the complainants and hence, there is a deficiency in service, negligence, and failure on the part of the first opposite party (builder) in failing to provide the complainants the desired service, which in turn caused mental agony and hardship, and financial loss, to the complainants”.
The complainants, a retired Naval officer and his wife had bought a flat from the firm by availing a loan and claimed that they were given false assurances by the builder regarding the legality and approvals for the apartment complex constructed by it.
The Supreme Court had on 8 May, 2019, directed the Kerala government to demolish four apartment complexes in Maradu that were built in violation of the coastal zone regulations within a month from the date of the order.
The order was passed by a bench consisting of justices Arun Mishra and Navin Sinha. The H2O Holy Faith and Alpha Serene buildings were demolished on 11 January, 2020, and the Jains Coral Cove and Golden Kayaloram were demolished on 12 January, 2020, through implosions.
The permission to construct the buildings was granted in 2006 when Maradu was a panchayat. In 2007, on the direction of the Vigilance Wing of the Local Self Government Department (LSGD), the panchayat issued a show-cause notice to the builders.
Following a petition by the builders, the Kerala High Court quashed the panchayat’s show-cause notice.
In 2010, Maradu became a municipality and the municipal body appealed to a Division Bench of the high court against the earlier order. It was later dismissed by the court.
Further, the Kerala Coastal Zone Management Authority (KCZMA) was made a party in the case and the municipality moved the Supreme Court.
The Supreme Court passed an order on 27 November, 2018, directing the constitution of an expert committee to report on whether the area wherein the apartments were sanctioned and constructed fell under the CRZ II or CRZ III.
The committee submitted its report stating that as per the CRZ notification of 1991 and Kerala Coastal Zone Management Plan (KCZMP) 1996, the area in question came under CRZ III. As per the CRZ notification 1991, no construction is permitted within 200 metres of the coastal line in CRZ III.
The flats were subsequently demolished on 11 and 12 January, 2020, based on the top court’s order.
(With PTI inputs)
May 17, 2024
May 17, 2024
May 17, 2024
May 16, 2024
May 16, 2024
May 16, 2024
