Developer cannot change plans already sanctioned: Appellate Tribunal of MahaRERA

Updated On: 09 April, 2022 01:25 PM IST | Mumbai | Vinod Kumar Menon

Order will protect interests of property buyers and act as a restraint to errant developers, say lawyers

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The MHADA building in DN Nagar, Andheri West, in which seven shops were booked by the petitioner in the year 2009-2010

In a landmark order, the Appellate Tribunal of MahaRERA stated that a developer cannot change sanctioned plans. The verdict was recently passed in favour of a litigant upholding the order of MahaRERA. The petitioner, Shekar Prasad, 57, a resident of Chembur, worked as a chief engineer (mechanical) with the merchant navy and wanted to start a marine institute. Hence, he had booked seven shops from a developer in the MHADA redevelopment project in DN Nagar, Andheri West, in 2009 and the beginning of 2010. Unfortunately, even after paying half of the entire consideration of over Rs 1.14 crore, to date, the developer has not started the work on the portion where the shops were allotted. The MHADA building stands just as it was in 2010 even today.

The dispute

“On January 24, 2013, Prasad, entered into a registered agreement for sale for the said seven commercial spaces/shops bearing on the ground floor of the project Moongipa Arcade, being built by M/s Moongipa Realty Pvt. Ltd (formerly known as Axayraj Buildwell Pvt. Ltd) in the D.N. Nagar Area, Andheri West for running a Maritime Training Institute. The date for possession was on or before March 31, 2014. The project was to be an MHADA Redevelopment and the lessor of the land is a society D.N. Nagar Shree Ashtavinayak Society. However, Moongipa failed to hand over the possession of the seven shops to Prasad, as promised, even though half of the entire consideration towards the flat cost was paid by the petitioner," said Advocate Nilesh Gala, who represented Prasad before MahaRERA.

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