I had made booking for a flat with M/s Hiranandani ( Hirco ) during their promotion in Muscat (Oman) during early December 2007. A token booking amount of Rs 100, 000 was made on 10th December, 2007. Subsequently another payment of Rs 11, 08, 350 was made on 13th Jan 2008. The payment schedule and costing of flat was part of the stamped receipt issued by Hirco on making token payment. I made my first site visit during first week of January 2008.
My booking was for a flat in Wilton-II on the 15th floor. I was given a provisional allotment of flat 1501. In fact I had requested for a higher floor and I was told that the availability was only on 15th floor or lower floor. The building was of 27 floors. The building was part of a project which includes couple of similar buildings housing a few hundred flats. The project was promoted with amenities which include plush landscape, state of art hospitals, schools, club, recreation facilities, commercial areas etc. The presentation was indeed impressive.
On 30th Jan, 2008 I received a revised payment schedule from Hirco, which differed from the agreed one at the time of booking. The revised payment schedule mentioned 14 installments as against 27 as per initial stamped offer letter. This meant substantial payment to be made on reaching 15 floors which certainly was not acceptable. I wrote back to Hirco on 24th Feb, 2008 highlighting the discrepancy on the installment Hirco admitted the discrepancy and accordingly corrected payment schedule was sent by Hirco on 4th March, 2008.
As per the initial payment terms, interest shall be charged @ 18 % pa for delayed payments, cancellation charges shall be levied @ 1 % of the flat cost. The provisional allotment letter also has a condition that in case of nonpayment of any installments, any other amounts, Hirco will be entitled to terminate the allotment on giving 15 days notice. Yet another condition in the provisional allotment was that in case the sanctions as envisaged are not received by 31/12/2008, all the amount/s paid shall be refunded in full without interest and without any liabilities/claim/damage against Hirco.
In June I came across some articles on the net about the project, which was not encouraging. I requested Hirco vide my mail dated 13th June 2008 to escalate the matter to Hirco management and clarify issues. Hirco never bothered. I visited the site on 1st July, 2008, met a senior official Mr.Wittner, Daniel & expressed dissatisfaction on progress made by Hirco over 6 months and also enquired on approval status for high-rise buildings. The reply was not encouraging. I was in constant communication with Hirco to know more. I requested Hirco to give me revised payment schedule based on progress. I received a mail on Aug 27 2008, which mentions that plinth will be reached in Jan 2009 (One year after booking) and possession will be in November 2009.
I was keeping an hawk eye on the project progress and got concerned , started to feel fire in my belly, worrying on my hard earned investment since no progress was being made on Wilton building ( apparently Hirco was awaiting statuary approvals to commence work )
On 3rd Oct, 2008 I sent a mail to Hirco Customer care expressing disappointment on progress, with a repeat mail on 18 October 2008. Hirco replied on Oct 21, 2008 stating they have escalated my concerns to management. Dissatisfied with the development I wanted to cancel my booking after about 10 months of virtually no progress on Wilton, I wrote to Hirco on 18 Oct, 2008 asking for way to cancel my booking. At this stage the response from Hirco was Luke warm with no replies. I sent a mail on 31st Oct 2008 asking them what was preventing them from response. On Dec 13, 2008 Hirco replied stating the work on Wilton has started and there will be no further delay. It also stated that they have received approvals and awaiting final documents to be signed off. Apparently it was evident that Hirco failed to obtain all approvals by Dec 2008. (As envisaged) As per the terms Hirco should have refunded on this account, but they choose to keep the customers in the dark and conceal these facts, presumably to do away from refund to its investors as laid down in terms of offer.
On 28th Jan 2009, I sent a mail to Hirco expressing my frustration and said I will be pleased to cancel my booking even if it means a loss of interest for one year.
Hirco replied giving consolation stating that the property has made appreciation and as regards cancellation, the reply was Hirco will only allow reselling on completion of a lock in period of two years and in my case the lock-in period would end by Dec, 2009. (A untenable new clause being introduced by Hirco to suit their convenience which was nowhere referred to in any of the correspondence / documents / terms nor a part of any agreement). Hirco offered that for resale after lock in period, Customer can either resell on their own or Hirco will assist, but the transfer charges will be 1 % and customer will not be given any benefit of appreciation.
After continuous follow up, Hirco sent a mail on 6th Mar, 2009 stating that the lock in period is reduced to 1 year in my case as a special consideration and I can resell after 1 year (I had not asked for resell anytime, I only wanted cancellation and refund from Hirco )I replied to Hirco stating I am not in business of buying and selling, and requested Hirco to sell and refund with some interest / benefit of sale. I pressed for refund with a repeat mail on 20th Feb, 2009. Hirco replied on 9th Mar, 2009 stating that my concerns have been escalated.
On 13th April, 2009 I again pleaded them to recover 1% and refund, albeit I had earlier requested them for waiver of this since the project was delayed and default was from Hirco.
Several correspondences were exchanged with no end result. On 12th Feb, 2010 I sent a request to Hirco to refund with deduction of 1% cancellation charges and 18 % interest for delayed period of refund from the day of my first request.
April 23, 2009 Hirco wrote stating that they will place my apartment for resale in their inventory and resale transaction will incur 1% transfer charge.
I sent close to hundred mails requesting for refund. On Jul 4, 2009, the vice president- customer care replied stating that the apartment was in their sale inventory and as soon as they sell they will refund. (What has this got to do, irrespective of this I should have been refunded.)
In Nov 2009 I received a mail stating they are progressing well & requesting for payment of installment levying interest charges also. (Is this progress? 2 long years for reaching plinth?). What was annoying was Hirco levying intrest, whilst the delay in execution of project was unanswered and secondly what was the point in Hirco sending demand note, whilst my refund request was pending with them for about a year. I strongly contested the interest charges. Hirco accepted on withdrawing the interest charge, the subsequent demand notes were sent with a rider total amount due (excluding interest if any)
Hirco started sending regular demand notes for further installments. I made no payment, rather I requested Hirco to exercise their clause of termination of allotment for delaying payments by over 15 days as laid down in the provisional allotment letter. In fact I received about 20 such demand notes over a period of Oct-09 & Aug-10. No payments were made against the 20 demand notes. But Hirco was not even willing to exercise this clause and refund the investor even upon prompting them.
I kept the follow up uninterrupted. On May 05, 2010 I received a mail from Hirco stating that the cancellation charge will be 17.5%. Presumably Hirco wanted to scare me wanted me to withdraw my cancellation demand and tried to arm-twist with nefarious ways. I replied back disputing them on the cancellation charge and giving earlier reference from their vice president confirming cancellation charge as 1 %. I also requested them to proceed with the cancellation and refund whatever is contractual and warned them that I will take the help of media and consumer court to get what I am entitled to.
I was thoroughly disturbed by their two year long ordeal and mental torture for denying refunding my money.
I lodged a complaint with CNBC Tv 18 on their program Beware. With this complaint Hirco started to yield and agreed to refund with a condition that I should withdraw the complaint. Finally I received my principle without any interest on 21 Sep 2010 but they still denied me the interest loss and they were not ready to share the benefit they get on resale. Technically I should get the refund with interest for delayed period. In the process Hirco forced me to send a letter stating withdrawal of my complaint with CNBC Tv 18. The scanned letter in Pdf format I sent as an attachment to one of my mails with following details
Ref: My complaint on show ‘Beware’ telecast on CNBC Tv 18,
Subject “Acceptance of EMI principle settlement- withdrawal of complaint”.
Had no addressee and was signed with no name of signatory and did not carry any date. No signed letter was sent to Hirco on withdrawal of any complaint with them or agreeing to the refund terms or agreeing that I have no pending grievances or accepting settlement in any form.
In fact Hirco is having a double whammy in having retained my deposit for two years and have earned interest for themselves and secondly reap benefit on resale at current price.
Why did Hirco collect such huge sums if they had no approvals to build, they had no intentions to build for almost two years. They had no curtsy to even notify its investors. A mere token advance should have been good enough for bookings.
My request is that since Hirco failed to get approvals in time, Hirco failed to kick start the wilton building on time, failed to catch up on progress, failed to deliver on time, failed to keep the investors informed, failed to refund on time, failed to even execute the clause of termination for so called delayed payment, Hirco is liable for compensation to its customer. Accordingly I should be compensated the interest loss atleast for two years albeit I have paid about three years earlier. (Interest applicable since the day I requested for cancellation)
Secondly as per the provisional letter I should have got my refund in 2008, since Hirco apparently could not get necessary approvals, Hirco should refund with interest wef Dec2008.
I also request that I should be given the damages on account of their harassment in delaying the refund and causing mental trauma & stress including loads of time spent on following up for refund of principle & interest.
When I cautioned him that I will approach media as well as consumer courts for the assistance, the reply from Hirco was that of mock & casual “It will take years for the courts to give justice and the case will have a slow death on its own”. I hope that Hirco will be proved wrong and made them realize that justice prevails and also prove that no one can make mockery of the courts and above all we love & respect the almighty, fear the law, do no injustice and refrain from deceiving the innocents
Accordingly I claim compensation from Hirco as below.
Amount Paid to Hirco on 10th Dec 2007 & 13th Jan 2008 Rs 12, 08, 350.
Interest for 2 [protected]@ conservatively say 12% Rs 2, 90, 000.
(From day of my first request for cancellation)
Less Cancellation Charge 6041750 @ 1 % (1% of Flat cost as per Hirco Terms ) Rs 60417 **
[protected]
Nett Compensation Rs 229583.
Damages due to harassment & Mental trauma induced by Hirco upon me for two years by first denying , arm-twisting and delaying to be decided by legal authorities.
** Note : The cancellation charge should indeed not be applicable since Hirco defaulted on
1. Delay in getting approvals and concealing these facts. Technically they should have refunded as per their terms. ( we have requested them to produce proof of getting approvals and HIRCO was not forthcoming )
2. Delaying the project grossly.
3. By causing mental trauma to customer by denying their rights.
I have all correspondence relating to above events and can be produced/ forwarded any time to substantiate.
Please find below the list of Hirco representatives with whom correspondences were exchanged as part my struggle to get my genuine dues.
1. Manish Bhatia
2. Samyukta Govindrajan
3. Pramita Talwar
4. Witner Daniel
5. Nazeer Ahmed
6. Raj Raman
7. Rochelle Chatterjee
8. Kansara Arti
9. Imtiaz
10. Shilpa Sharma
11. Dave Kinjal
12. Ritwika Kamath
13. Suchitra Kulkarni
14. Ritwika Bose
15. Vincy Kshirsagar
16. Shabnam Titus
17. Alvin Lobo
18. Hiren Mehta
19. Micheal D Munshi
Now I look upon the much heard consumer courts with myriad hopes to pursue my case get my fair dues. I have umpteen faith / trust with the consumer court and sincerely wish that my plea is heard in right spirit and give justice. I will be pleased to forward all the correspondence if requested.
I will appreciate if can get an acknowledgement for registering my complaint and keep me posted on developments.
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