HYDERABAD: The district consumer disputes redressal commission, Ranga Reddy, has ruled in favour of consumers in two separate real estate disputes — one involving delayed possession of a flat, and another over returns promised on land-linked investments. In both cases, refunds and compensation were awarded.
In the first case, Rajitha Guduru from Bachupalli deposited Rs 25 lakh in instalments with a real estate firm dealing in land ventures in Warangal. The company issued her certificates promising monthly returns on “undivided land shares”, but no payments were made.
Rajitha was never told where the land was or given proper documentation. Despite repeated follow-ups, they neither refunded money nor responded clearly, she told the commission. The complainant also alleged that she helped the firm by enrolling others into chit fund schemes tied to the same group.
The firm argued that Rajitha hadn’t completed the transaction or followed the exit terms, and claimed other companies mentioned were unrelated. However, the commission found that the certificates lacked essential details like location, land extent, and transaction terms.
Holding the firm guilty of misleading the consumer and collecting money without delivering on promises, the commission directed it to refund the Rs 25 lakh with 9% annual interest, pay Rs 50,000 for mental agony, and Rs 10,000 in legal costs. Other firms named were let off.
In the second case, N Gayathri and her husband N Rajasekhar Reddy filed a complaint after two developers failed to hand over a flat in a Narsingi project. The couple paid Rs 36.9 lakh of the agreed Rs 68 lakh after signing a sale agreement in January 2022. However, the developers neither completed the flat nor responded to legal notices.
With no appearance from the developers during the hearing, the commission set them ex-parte and ordered them to hand over the flat within three months after collecting the remaining amount. They were also directed to pay Rs 50,000 in compensation and Rs 10,000 towards litigation costs.
These orders highlight how consumer courts are increasingly holding builders and investment firms accountable for delays, false promises, and lack of transparency in real estate transactions.
