NCDRC Orders Godrej Projects to Refund Rs 40 Million to Homebuyers
In a major setback for Godrej Projects, the National Consumer Disputes Redressal Commission (NCDRC) has directed the real estate company to refund over Rs 40 million to homebuyers in five separate cases. The refunds are a result of the builder’s failure to fulfill promised commitments, including the construction of a 24-metre-wide road and other essential amenities. These commitments were made to buyers of flats in the ‘Godrej Summit’ project located in Sector 104, Gurgaon.
Failing to Deliver on Promises
A panel led by presiding member Ram Surat Ram Maurya and member Bharat Kumar Pandya held Godrej Projects responsible for its inability to deliver on its commitments, especially regarding the construction of the wide road and essential amenities. Despite possession being offered, the promised road has not been built even after a seven-year delay. The absence of a planned road left buyers with a deficiency in services, leading them to rightfully pursue refunds.
The project had initially claimed to be connected to the Dwarka Expressway via the wide road, with separate entry and exit points for each section of the society. However, the builder constructed an alternative entrance and exit gate for Parcel A, which was encroached upon, leading to a narrow road for buyers of flats in Parcels B and C.
Builder’s Responsibilty
The NCDRC ruled that Godrej Projects could not evade responsibility by blaming government authorities or by arguing that it had already filed a civil writ petition in the Punjab and Haryana High Court to expedite the road construction process. The commission stated that it was the duty of the builder to ensure the provision of the promised road and amenities.
Appeal Against the Orders
A spokesperson for Godrej Projects stated that the refund order relates to the non-construction of the 24-metre-wide road. The company believes that it is not accountable for constructing the road outside the project. The spokesperson also mentioned that the matter is still sub judice, and the company is seeking legal advice to file an appeal against the latest orders.
Conclusion
The NCDRC’s decision to direct Godrej Projects to refund the homebuyers is a significant outcome for those who had invested in the ‘Godrej Summit’ project. While the builder claims that it is not responsible for the construction of the road, the commission’s ruling emphasizes the builder’s obligation to fulfill promised commitments. It remains to be seen whether the company’s appeal against these orders will result in a different outcome. The case highlights the importance for future homebuyers to thoroughly assess verbal assurances and promised amenities before making such significant investments.
