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Promoter vs promoter: Curious case of a housing society in Mumbai suburb

When the members of a housing society who had given their building for redevelopment approached the Maharashtra Real Estate Regulatory Authority (MahaRERA) seeking possession of their flats from the developer, their plea was dismissed.

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When the members of a housing society who had given their building for redevelopment approached the Maharashtra Real Estate Regulatory Authority (MahaRERA) seeking possession of their flats from the developer, their plea was dismissed.

In MahaRERA's order, the complainants were held as promoter (landowner) and even the developer that is the respondent was also held as promoter.

Housing experts say that this definition of a member of a housing society as promoter taken by MahaRERA needs to be looked into as the member gets extra space under redevelopment but not profit.

Around 11 members of a project named Shanti Niketan located in Vikhroli, approached MahaRERA, the members in their complaint had stated that they have taken up redevelopment of their building through the builder Matrix Constructions.

The members further alleged that the building was ready, but the developer wasn't handing them possession.

The members also alleged that the managing committee and the complainants had some dispute too and hence they approached MahaRERA.

They wanted the authority to direct the developer to hand over the possession of their redeveloped apartment, with compensation for the mental trauma and physical harassment by the developer.

During the hearing, the complainants accepted that they are members of the landowner Cooperative Housing Society. The complainants further claimed to be rightful allottees of the redevelopment apartments.

From the details put out by the developer promoter on MahaRERA website, the revised date of completion of the project is December 2019.

The developer promoter, therefore, shall hand over apartments to all rightful allottees as per the timeline given on MahaRERA website.

"On the basis of arguments by complainants, it is evident that the dispute is between the complainants i.e. members of the Cooperative Housing Society, Managing Committee i.e. Promoter (Landowner) and the developer which is the promoter. The Complainants have not been able to point out any contravention or violation of the provisions of the Real Estate (Regulation and Development) Act, 2016 or the rules or regulations made there under. The MahaRERA is not the proper forum to resolve above mentioned issues, raised by the Complainants. The complaint is, therefore, dismissed," said the order passed by Gautam Chaterjee, the chairman of MahaRERA.

Advocate Vinod Sampat,an expert in cooperative societies issues said, "A flat buyer or a member of housing society are consumers and in such cases they should approach the consumer court or if a criminal element is involved then metropolitan magistrate court."

Ramesh Prabhu, Chairman of Maharashtra Societies Welfare Association said, "This definition of terming a member of the housing society as a promoter is completely the MahaRERA's stand and this may discourage many others from coming ahead and filing complaints against developers"

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