The Delhi State Consumer Disputes Redressal Commission has held Parkwood Developers Pvt. Ltd. guilty of deficiency in service for an eight-year delay in delivering possession of a residential unit booked by homebuyer Brijesh Singh in the developer’s Mohali project, Parkwood Glade. The complainant had booked the flat in July 2015 for a total consideration of ₹65,16,625 and paid ₹18,50,000 directly to the developer, while a further ₹47,72,781 was disbursed through LIC Housing Finance based on the developer’s assurance that it would service the EMIs until possession. Although some EMIs were paid initially, the developer stopped making payments while also failing to hand over the unit by the contractually stipulated date of 30 July 2017, forcing the complainant to face loan recovery notices despite not receiving possession.
Despite being duly served, Parkwood Developers failed to appear or file a written statement, leaving the complainant’s allegations unrebutted. The Commission, led by Justice Sangita Dhingra Sehgal, held that the prolonged delay and failure to honour contractual obligations constituted clear deficiency of service under established Supreme Court precedents, emphasising that a homebuyer cannot be expected to wait indefinitely when substantial amounts of hard-earned money have been paid.
The Commission directed Parkwood Developers to refund the entire amount of ₹18,50,000 paid by the complainant along with interest at 6% per annum calculated from the date of each payment until 16 October 2025, subject to the condition that the refund is made by 16 December 2025. If the developer fails to make the payment by this date, the amount shall instead carry interest at 9% per annum from the dates of payment until actual realisation. Further, the developer was ordered to clear the outstanding housing loan availed by the complainant from LIC Housing Finance for the same unit. In addition, the Commission awarded ₹1,00,000 as compensation for mental agony and harassment and ₹50,000 towards litigation costs.
Appearances:
Nitin Goel, Counsel for the Complainant