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Prestige Bella Vista Flat Owners Welfare Association v. Prestige Estates Projects Ltd

Prestige Bella Vista Flat Owners Welfare Association v. Prestige Estates Projects Ltd

(Real Estate Regulatory Authority Tamil Nadu)

C.No.143/2022 | 29-01-2024

1. The Complainant Association Prestige Bella Vista Flat Owners Welfare Association has submitted in the Complaint that it is a registered society functioning for the welfare of the owners of the Apartment Complex Prestige Bella Vista that is being developed by the Respondent. The Complainant Association has further submitted that the Planning Permission from CMDA has been obtained by the Respondent in December, 2011 for construction of 33 Blocks in 20 Towers with two basements and 1 Block of Club House. The project was named as ‘Prestige Bella Vista’.

2. It is further submitted by the Complainant Association that as per the Construction Agreement the Respondent has to hand over possession | of the Flat on or before 31.03.2015 with a grace period of 6 months. It is stated by the Complainant Association that though the Respondent had started handing over of the Flats from the year 2016, they are yet to obtain the completion certificate even after 6 years from the date of handing over the Flats.

3. The Complainant Association has further stated that since the completion certificate has not been obtained, the maintenance responsibility continues to be with the Respondent, who is doing the maintenance through a FMS Company.

4. The Complainant Association has prayed for the following reliefs in the Complaint.

i) Direct the Respondent to register the project with this Authority.

ii) Direct the Respondent to comply with the statutory norms and obtain the Completion Certificate within the time period fixed by this Authority.

iii) Direct the Respondent to hand over the maintenance responsibility and the Corpus Fund with accrued interest, after meeting with all the statutory norms.

iv) Permanent Injunction restraining the Respondent, their men, agent or anyone acting under them from adjusting the maintenance dues of individual Allottees from the Corpus Fund until the same is handed over to the Complainant.

v) Permanent injunction restraining the Respondent, their men, agent or anyone acting under them from collecting additional maintenance charges over and above the amount that has been agreed between the parties.

vi) Direct the Respondent to provide the statement of accounts relating to maintenance carried out by the Respondent from the beginning to till date.

vii) Direct the Respondent to provide adequate four wheeler parking to all the Allottees in the basement and two wheeler parking in the surface area, without violating the statutory norms or encroaching into the setback area or allotting the same adjacent to piped gas banks or on bridges over CMWSSB water pipeline areas, ‘on the loading and unloading areas, on the fire safety assembly areas, electric control panel, transformer yard or in violation of Green Belt Design in terms of EIA clearance, along with appropriate visitor’s car park as per the approved plan in the surface area within the time period fixed by this Authority.

vili) Direct the Respondent to provide the following amenities as promised to the Allottees:

a. Swimming pool after getting the appropriate NOC.

b. Safe drinking water supply under the residential rates.

c. Reverse Osmosis Technology.

d. Adequate DG sets for emergency power backups and replace the failed ACCL Units.

e. Installation of Solar Energy Panels for common area lighting

f. Sufficient Garden or Green Belt

g. Adequate Sewage Disposal system

h. Adequate organic waste convertor

i. To repair the broken kids play area and fitness garden etc.

j. To provide electro forged steel grating in trenches

k. To provide disabled friendly access to the parking and club house

l. Convenience Store within the Club House

ix. Direct the Respondent to provide adequate CCTV cameras being 1000 Nos. and deploy sufficient manpower for security, with adequate e security cabins, surveillance video walls, supporting infrastructure.

x. Direct the Respondent to provide Environmental Management Cell in the Apartment Complex.

xi. Direct the Respondent to obtain authorization from the concerned authority for disposal of hazardous waste.

xii. Direct the Respondent to obtain CTO from the Tamil Nadu Pollution Control Board.

xiii To obtain permission from competent authority for reticulated gas supply system satisfying the necessary safety standards and statutory guidelines.

xiv. Direct the Respondent to replace the amenities repaired due to poor maintenance as mentioned in Annexure.

xv. Direct the Respondent to provide all the fire safety equipments as per the statutory norms and conduct a periodical check of the fire safety standards and submit a half yearly report to.the Complainant until handing over the maintenance responsibility to the Complainant.

xvi Direct the Respondent to carry out proper termite control treatment on a regular basis and ensure that the Apartment Complex is Termite free until handing over the maintenance responsibility to the Complainant.

xvii. Direct the Respondent to rectify the structural defects, water treatment supply infrastructure, improper STP system design, seepage issues in walls, roofs, basement and DG yards, broken flooring, roads, pavement, steps and walking ramp, rusted pipes and hanging electrical shafts, dumped sign boards, broken earth pits etc. and to remove the project dumps which create foul smell, within the time period fixed by this Authority and thus render justice.

5. In the Counter Affidavit filed by the Respondent Promoter, it has been submitted. by the Respondent Promoter that the Respondent had completed the Project and commenced handing over from the year 2015.

6. Regarding completion certificate, it is submitted by the Respondent that out of the 33 blocks, the completion certificates for 25 blocks had already been issued by the CMDA and in so far as the balance 8 blocks, the same was withheld by the CMDA solely on account of certain pending litigation regarding certain additional fee/demand, which was finally disposed of in the year 2021 by the Hon’ble Supreme Court. The completion certificates for these 8 blocks have also been subsequently issued by the CMDA. As such, the completion certificate has been issued for entire Project as on date.

7. The Respondent has also submitted that it is ready and willing to handover the maintenance and the day-to-day affairs of the Project to the Complainant Association.

8. Regarding the averments at para 4(m) and 4(n) of the Complaint, the Respondent has stated that it has provided parking spaces within the Project as per the CMDA norms.

9. With regard to the averment pertaining to industrial supply of water which is vehemently denied by the Respondent and submitted that the supply is in the nature of residential water supply. However, on account of the volume of consumption, the rates charged by the CMWSSB are on an industrial/commercial basis since the consumption is in excess of 500 Kl. It is further submitted by the Respondent that the CMWSSB supplies water to the Project by way of a dedicated water line which carries 20 Lakh liters of water per day, to the Project and that the supply of the same via a dedicated water main is at a higher tariff rate on a day-to-day basis. Therefore, the additional charge levied by the CMWSSB is in no way attributable to the Respondent.

10. Regarding the averments stated in para 4(p)(vii) of the Complaint, the Respondent has submitted that it has provided gas connections by way of an agreement with a licensed third-party gas supplying agency as per the requirements of Indian Oil Corporation Limited. Also it is submitted by the Respondent that the provisions for gas connection have been provided in each of.the apartments in the Project and it is for the residents to take appropriate steps to ensure that the connection provided is utilized effectively. In specific terms, unless a gas cylinder connection is surrendered and necessary forms are filled, a pipe connection would not be granted, as per law.

11. The Respondent has denied the averments stated in para 4(s)(v) and submitted that the DG sets of sufficient capacity as per the power requirement for the Project have been provided. The ACCL units have been replaced periodically. It is also stated that the issue of DG sets is sub-judice before the Hon'ble NGT.

12. Finally the Respondent has submitted that there have been no illegal conversions of open spaces to car parking areas or alleged violation of green belt design as per the environmental clearance and it is reiterated that the Project is in compliance with all CMDA, environmental and contractual requirements.

13. In the Rejoinder, the Complainant Association has submitted that even according to the Respondent, the Completion Certificate for several blocks have not even been obtained until the Complaint was filed. As such the project is bound to be treated as an ongoing project and not otherwise.

14. This Authority has examined the Complaint, the Counter Affidavit filed by the Respondent Promoter, the Rejoinder filed by the Complainant, the arguments and written submission of arguments carefully.

15. The Authority has already held that this real estate project is an ongoing project as on 01.05.2017 the date of commencement of Section 3 of the Act in its order dated 02.06.2023 in this Complaint and accordingly held that this Complaint is maintainable.

16. Regarding the prayer to direct the Respondent Promoter to register this real estate project with this Authority, this Authority directs the Respondent Promoter to register the entire real estate project with this Authority before 31.03.2024.

17. Regarding the prayer to direct the Respondent Promoter to comply with the statutory norms and obtain the Completion Certificate, this Authority notes that the Respondent Promoter has also obtained the Completion Certificate for the balance 8 blocks out of 33 blocks in this real estate project on 08.12.2022,

18. The completion certificate for all the blocks in this entire real estate Project has been issued and hence the above prayer has already been complied with by the Respondent Promoter.

19. This Authority also notes that the Tamil Nadu Pollution Control Board has issued Consent to Operate under Water and Air Act by its order dated 05.09.2023. Therefore, the prayer regarding statutory compliance has also been complied with.

20. Regarding the prayer to hand over the maintenance of common areas in this real estate project along with corpus fund with accrued interest, this Authority directs the Respondent Promoter to hand over the common areas in this real estate project for maintenance by the Association of Allottees namely the Complainant Association before 31.03.2024 as per Section 17(1) of the Act.

21. The Respondent Promoter shall also hand over the corpus fund along with interest earned on the corpus fund, if any; to the Association of Allottees before 31.03.2024.

22. Regarding the prayer to restrain the Respondent Promoter from adjusting the maintenance due from the individual Allottees from the corpus fund, this Authority holds that the corpus fund is meant for incurring any capital expenditure on replacement of any equipment/ machinery, generators, etc. as per Clause 10(C) of the Construction Agreement dated 11.06.2013 (page No.8 of the typed set documents filed by the Complainant on 29.11.2022). Therefore, the maintenance dues of the Allottees shall not be adjusted from the corpus fund and it is upto the Respondent Promoter to take appropriate action to collect the maintenance dues from the individual Allottees.

23. Regarding the prayer to restrain the Respondent Promoter from collecting additional maintenance charges over and above the amount that has been agreed between the parties, the Authority notes that as per Section 11(4)(d) of the Act, the Respondent Promoter shall be responsible for providing and maintaining the essential services, on reasonable charges (emphasis supplied), till the taking over of the maintenance of the project by the Association of the Allottees.

24. The Respondent Promoter has also submitted that it has collected Rs.2.50 per sq.ft. per month from the Allottees of the project as maintenance charges for a period of one year upon delivery of the apartment as per Clause 10(b) of the Construction Agreement. As the rate of Rs.2.50 per sq.ft. was collected in the year 2012 and meant for one year only, the Respondent Promoter has fixed currently at Rs.3.81 per sq.ft. per month.

25. The Respondent Promoter has further submitted that after taking into account the expenses in providing common maintenance services, the current maintenance charges have been arrived at Rs.3.81 per sq.ft. per month.

26. Accepting the above submission of the Respondent Promoter, this Authority rejects the prayer of the Complainant Association to restrain the Respondent Promoter from collecting the additional maintenance charges.

27. Regarding the prayer to provide statement of accounts relating to maintenance carried out by the Respondent Promoter from the beginning till date, the Respondent Promoter has submitted that it is ready and willing to provide the statement of accounts relating to the maintenance of the project to the Complainant and the same has been provided to the Complainant by way of an audited certified statement dated 23.11.2023.

28. Accepting the above submission of the Respondent Promoter, this Authority holds that this prayer of the Complainant Association is complied with.

29. Regarding the prayer to direct the Respondent Promoter to provide adequate four wheeler parking to all the Allottees in the basement and two wheeler parking in the surface area without affecting statutory norms, this Authority notes that the entire project has received the completion certificate from CMDA which implies that the car parking, two wheeler parking and visitors car parking have been provided as per approved plan approved by CMDA.

30. Therefore, the question of giving further direction to the Respondent Promoter does not arise.

31. Regarding the prayer to provide various amenities as promised to the Allottees, the Authority directs the Respondent Promoter to provide Swimming Pool before 30.09.2024 after getting appropriate NOC, if not done already.

32. Regarding safe drinking water supply, the Respondent Promoter has submitted that it has provided 3 water treatment plants and it has also provided water supply from CMWSSB. Therefore, this prayer is held as complied with.

33. Regarding the prayer relating to Reverse Osmosis Technology, this Authority directs the Respondent Promoter to provide the same before 30.09.2024, if not done already, if the Respondent Promoter has promised Reverse Osmosis plant either in the brochure or in the construction agreement.

34. Regarding provision of adequate DG sets, the Respondent Promoter has submitted that this real estate project has been equipped with required number of DG sets as evidenced from the reports of TNPCB before the Hon’ble NGT.

35. Therefore accepting the above submission, this prayer is treated as complied with. —

36. Regarding installation of solar energy panels, the Respondent Promoter has stated that it has provided with total capacity of 75KW and awaiting the approval from TANGEDCO for commissioning. As installation of Solar Energy Panel is part of the statutory compliance for Completion © Certificate and in view of the issue of Completion Certificate, this Authority accepts the submissions of the Respondent Promoter and treat this prayer as complied with.

37. Regarding provision of garden or green belt, the Respondent Promoter has stated that the required green belt has been provided and the Respondent Promoter is not in violation of any of the Completion Certificate norms.

38. Accepting the above submission of the Respondent Promoter, this prayer is treated as complied with.

39. Regarding the sewage disposal system and installation of Organic Waste convertors, the Respondent Promoter has submitted that they have been installed and has received Consent to Operate under the Water Act.

40. Therefore these prayers are also treated as complied with.

41. Regarding the prayer to repair the broken kids play area and fitness garden etc., this Authority directs the Respondent Promoter to rectify the same before handing over the maintenance of common areas to the Association of Allottees.

42. Regarding the prayer to provide electro forged steel grating in trenches and convenience store within the Club House, this Authority directs the Respondent Promoter to provide the same, if they have been promised already in the Construction Agreement or in the Brochure before 30.09.2024.

43. This Authority also directs the Respondent Promoter to provide disabled friendly access to the parking and club house in compliance with the relevant laws before 30.09.2024.

44. The Authority accepts the submissions of the Respondent Promoter of having provided adequate CCTV cameras and adequate manpower of security for this real estate project and accordingly this prayer is complied with.

45. Regarding the prayer to direct the Respondent Promoter to provide Environmental Management Cell in this real estate project, the Respondent Promoter has submitted that it has been established within the complex. Therefore, this prayer is complied with.

46. Regarding the prayer to direct the Respondent Promoter to obtain authorization for disposal of hazardous waste, this Authority is not able to appreciate as to how a residential complex can generate hazardous waste. However, it is up to the Complainant Association to move the Tamil Nadu Pollution Control Board (TCPCB) for suitable relief and appropriate action regarding this prayer.

47. Regarding the prayer to direct the Respondent Promoter to obtain Consent to Operate from the TNPCB, the Respondent Promoter has already obtained the same. Therefore, this prayer is also complied with.

48. Regarding the reticulated gas supply system, the Respondent Promoter has submitted that the provision for reticulated gas supply has been provided to the apartments of the project. However, the Allottees have to give up their existing gas connection and thereafter fill in the necessary forms as required by the agency concerned and only upon completion of the same, piped gas connection will be provided to the apartments in this real estate project.

49. Therefore, accepting the above submissions of the Respondent Promoter, it is up to the Association of Allottees to take appropriate action in this regard.

50. Regarding fire safety equipments, the Respondent Promoter has submitted that this real estate project does not suffer any lapses with regard to fire safety compliances as CMDA has also issued completion certificate for all the Blocks.

51. However, this Authority notes that certain observations have been made by the Fire and Safety Committee in the report prepared by the Respondent (page No.184 to 196 of the typed set documents filed by the Complainant on 26.10.2022).

52. This Authority directs the Respondent Promoter to ensure compliance of the recommendations made by this Committee (page No.195 of the same typed set papers filed by the Complainant) before 30.09.2024.

53. Regarding termite control treatment, this Authority directs the Respondent Promoter to provide the same if it has been promised in the Brochure or in the Construction Agreement or in any other written promise made by the Respondent Promoter to the Allottees of the Complainant Association before handing over the maintenance of common areas to the Complainant Association.

54. Regarding rectification of structural defects, etc. the Authority directs the parties that it is up to the individual Allottees and the Respondent Promoter to act strictly in compliance with Section 14(3) of the Act.

55. With the above findings and directions, this Complaint is disposed of.

Advocate List
  • M/s. Rank Associates

  • M/s. Dua Associates

Bench
  • Thiru K. Gnanadesikan (Chairperson)
  • S. Manohar (Member)
  • V. Jeyakumar (Member)
Eq Citations
  • LQ
  • LQ/RERA/2024/64
Head Note