Air Force Naval Housing Board's Appeal Dismissed as Settlement Reached with Allottee
The Karnataka Real Estate Appellate Tribunal dismisses the appeal by Air Force Naval Housing Board as a settlement is reached with the allottee regarding a refund dispute. Find out more about the case and its implications. #RealEstate #DisputeResolution
In a recent development in the real estate sector, the Air Force Naval Housing Board's appeal was dismissed by the Karnataka Real Estate Appellate Tribunal. The appeal arose from a dispute with an allottee regarding the refund of a booking amount for the "JAL VAYU TOWERS" project. After a thorough examination of the case, the tribunal dismissed the appeal as the parties reached a settlement outside of court. This article will delve into the details of the case, the tribunal's decision, and the implications of the settlement.
Background of the Case:
The Air Force Naval Housing Board, responsible for developing the "JAL VAYU TOWERS" project, encountered a dispute with an allottee, G. Bala Saraswati. Saraswati had booked an apartment in the project during 2018 and paid an advance amount. However, the promoter failed to execute a sale agreement despite receiving the payment. Consequently, Saraswati requested the cancellation of the allotment and sought a refund of the amount paid.
This appeal was filed on behalf of a real estate developer who is appealing the Authority's decision in CMP/201127/0007034, which was issued on August 5, 2022.
RERA Authority's Order and the Appeal:
Saraswati, dissatisfied with the promoter's response, filed a complaint before the Karnataka Real Estate Regulatory Authority (RERA). After carefully considering the complaint and hearing both parties, RERA passed an order directing the Air Force Naval Housing Board to refund the amount paid by Saraswati, along with prescribed interest.
Unsatisfied with the RERA Authority's decision, the Air Force Naval Housing Board decided to appeal the order. They filed an appeal before the Karnataka Real Estate Appellate Tribunal under Section 44 of the Real Estate (Regulation and Development) Act, 2016.
Tribunal's Decision and Settlement:
Upon reviewing the case, the tribunal found it to be a matter of refunding the amount paid by the allottee, as per the RERA Authority's order. However, before the appeal could be heard, the parties involved—Air Force Naval Housing Board and G. Bala Saraswati—amicably settled the dispute outside of court.
As a result, the tribunal dismissed the appeal as settled out of court. The settlement agreement was formalized in a Joint Memo of Settlement, wherein both parties agreed to a specified settlement amount. The tribunal ordered the release of a portion of the deposited amount to Saraswati, while the remaining balance, along with any accrued interest, would be released to the Air Force Naval Housing Board.
The Air Force Naval Housing Board's appeal before the Karnataka Real Estate Appellate Tribunal has been dismissed after the parties involved reached a settlement. The dispute arose from the failure to execute a sale agreement and subsequent cancellation of the allotment, leading to the demand for a refund. The tribunal's decision to dismiss the appeal highlights the effectiveness of alternate dispute resolution methods in resolving real estate conflicts. This case serves as a reminder to promoters and developers to adhere to their obligations under the Real Estate (Regulation and Development) Act, 2016, and emphasizes the importance of ensuring transparent and fair transactions in the real estate industry.
Note: The information provided in this article about Karnataka Real Estate Regulatory Authority (KRERA) is for informational purposes only. It is not intended as legal or professional advice and readers should consult qualified professionals for advice specific to their circumstances. The information provided in this article is based on the FR NO. (K-REAT) 100/2022 before the Karnataka Real Estate Regulatory Authority
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