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Gaurav Singhal (Technical Analyst)     05 August 2012

Builder has increased total after taking booking of flat

I booked a flat in one of the project in Pune in November 2011 at cost of ~29 lacs. Now, at the time of agreement builder has increased cost of flat by almost 10% and has following charges which were not there in the cost sheet given at the time of booking of flat.

1) Club house charges Rs 1 Lac. Earlier at the time of booking, club house was mentioned as free for flat owners.

2) Parking charges :  2Lacs . Earlier it was 1.5 Lacs for ground floor and 1 lac for podium. This was included in the agreement value also at the time of booking. Now builder is asking 2 Lacs separtely and not including it in agreement value.

3) Provisiobal maintenance charges Rs 20K. This amount was not in the cost sheet at the time booking

4) 18 months maintenance charges were earlier taken up @ Rs2/sq ft which is now increased to Rs 3 /sq ft.

Other things which have come to light are that the 2 level podium parking which buider had proposed and was asking 1 Lac has not been sanctioned by govt authorities. This has reduced total number of available parkings.

What can be done in such situtaion? There are almost 150 flat owners who are trying to get these cost revered and have written several times to buider but builder has refused to withdraw the increased cost. Can builder increase cost like this arbitraly anytime? Can he sell flats even if the completed plan is not sanctioned? What can be done to get the increased cost reversed and get the agreement value including parking space?

Need help urgently. Please guide.






 6 Replies

Vinav K Mishra (Lawyer)     05 August 2012

consumer court can grant you relief or otherwise you may go to the civil court for specific performance of the contract guaranteed at the time of the booking, but you have to prove it that the builder conveyed you the above mentioned promises either in writing or orally.

Ajoy Kumar Choudhury (Legal Advisor)     06 August 2012

approach the consumer court which is specially meant to settle these disputes.

CA. Vikash Dwivedi (Chartered Accountant)     06 August 2012

dear gaurav,

do you have anything in writing when you paid token money? I believe you must be having some pamphlets or broucher of the proposed building when you paid token money.

You can always go to consumer court at the same time i would suggest you to register you complaint with competition commission of India (CCI) u/s 4 for absue of dominant position if you are not convinced with reason for rates hike. Also, if you could contact other people who are deceited by the builder take their complaint as well while registering your complaint wiht CCI.

BTW which builder is this and whihc place in pune? 

Gaurav Singhal (Technical Analyst)     07 August 2012

Hi All,

Thanks for your imputs. Yes, I and many people do have the pamphlets, brochures and receipts of the token money paid so far. The project in question is Jade Residences, in Wagholi Pune by Dheeraj Group of Mumbai.

Gaurav Singhal (Technical Analyst)     07 August 2012

Can you please also suggest, how cumbersome it could be in terms of time and money to file a complaint with consumer court and CCI? Is there any site / forum from where I can get guidance on filing the complaints?

Pradeep (Consultant)     26 September 2012

HI Gaurav,I have also booked a flat in jade residencies,please let me know if you have taken any steps on above issues..If you know other owners we can collectively work ..awaiting your reply..

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