H-RERA gives Orris two years to complete Greenopolis

The H-Rera bench of Gurgaon has set a 24-month deadline for the developer of Greenopolis to complete the project and hand over flats to buyers. The bench, which is expected to release a written order in this regard in a few days, asked Orris to start construction by January 5, 2019, and delivery all the flats by January 4, 2021. It threatened to slap a penalty of Rs 50 crore on the developer if it failed to commence work by January 5, and an additional fine of Rs 1 crore per day for further delays. Also, the developer has been asked to get the project registered under the Rera. Orris, along with 3C, had applied for licence for the project in Sector 89 in 2011, and started selling flats in 2012. Orris’ partner 3C was to construct the entire project with 1,862 units in 29 towers spread across 47 acres. Of these, 65% flats were owned and sold by 3C, while the remaining 35% were offered by Orris. The construction had started in 2014, promising possession in 2015. But, the work was stopped after completing 45% of the project.   “Of the total 1,836 units, the developer had allotted around 1,641 units and collected Rs 1,159 crore from homebuyers. Orris is the licence holder of the project but 3C had struck an agreement with Orris fraudulently,” the bench observed. The H-Rera bench will hear the Greenopolis case again on January 8, 2019, and if the developer fails to resume construction by then, it may order refunds to the investors. Also, the bench is likely to constitute a monitoring committee, with four flat owners on board, to supervise the project work. However, the homebuyers do not want to start celebrations as yet. “We are still doubtful whether the developer will complete the project or not. They have been using various tactics to delay the project,” said Vijay Raj, a homebuyer. DimpiDiwan, another homebuyer who was present during the hearing, said, “The Rera gave the builder two years, but how it will complete the project is not clear.” Ravi, president of Greenopolis Welfare Association, echoed Diwan. “There is nothing concrete. We will wait for the formal order.” The buyers said the Rera order must be well-defined to ensure completion of the project in a time-bound manner. Also, the developer would need a large amount of cash to finish the work, and thus, it should be asked to deposit money in an escrow account. The buyers further said they had already paid substantial amount of money and would not be able to pay any further.