The order came as senior counsel Kapil Sibal, appearing for Parsvnath Buildwell, told the bench that they would hand over the possession of flats by December 2017 and in the meantime the buyers would be given monthly rent they were paying for their present accommodations.
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Giving an indication that real estate company can not delay refunding of money to flat buyers by pursuing a protracted legal battle, the Supreme Court on Thursday directed the Parsvnath developer to deposit Rs 12 crore of investors money before it took up the firm’s plea against giving back the money. The money has to be deposited within four weeks.
The court instead directed the company to refund money to 70 buyers whose flats were not delivered at its “Exotica” project in Ghaziabad.
The apex court has also refused to stay an order asking the company to refund money to home owners within four months.
Rejecting Parsvnath Developer’s plea to call the GDA to the apex court to explain the status of the approval process for the project, the Supreme Court said that is a matter which the developer will have to deal with as it “does not lie in court’s domain”.
Sibal further said if the developer gets the plan re-validated, it will be in a position to construct and can handover the flats to the buyer, and till then it will pay the equivalent rent to each of the depositors.
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In an earlier hearing, Parsvnath Developers told the court that it will take another year to complete the project.
