question on fradulent registration of flat
singhk15
(Querist) 18 July 2011
This query is : Resolved
Sir,
I have purchased a flat from M/S. Durga Developers pvt. ltd, Ranchi and paid Rs.17,00,000/- to the developer and registration cost of Rs.1,65,000/- paid in cash to the Government. Now a news has been published in the newspaper that the floor plan of 4th floor of the flat, which i have purchased and registered in my name is not sanctioned and the municipality authority has already demolished the portion of the flat. LIC Housing Finance Limited has sanctioned loan on the property. Now the builder is not returning investment. What can I do now? please help me.
R.Ramachandran
(Expert) 19 July 2011
In your purchase agreement, there may be an indemnity clause, saying that the seller (builder in this case) would be liable to make good the loss/damage if any suffered by you in case there is any defect in the title.
Please check up whether such a clause is there in the agreement. If it is there, then sue the builder for recovery of money.
RAJU O.F.,
(Expert) 20 July 2011
Before purchase of the flat you had to ensure as to whether the plan of the flat was approved by proper authority. Normally, banks and financial institutions also strictly verify the approval of plan. Cause to issue a legal notice to the builder and later file suit to recover the sale amount and compensation.
