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Consumer forum orders arrest of Gruhlaxmi Construction’s proprietor

The builder, who took an advance from three flat aspirants, did not develop the scheme and neither did he refund their money despite orders by SCDRC.

In a rare judgment, the state consumer disputes redressal commission (SCDRC) has directed the police department to arrest an unethical builder and present him before the jury before January 30.

The builder, who took an advance from three flat aspirants, did not develop the scheme and neither did he refund their money despite orders by SCDRC and assurance given to the national consumer disputes redressal commission (NCDRC).

The SCDRC registrar (legal), through three letters issued to the commissioner of police BK Upadhyay on January 7, said, “Please find the bailable warrant of arrest of Suresh Burrewar, proprietor of Gruhlaxmi Construction and Land Developers arising out of the complaint decided on January 6, 2017. The bailable warrant of arrest be sent to the proper police station for execution. Return duly executed warrant on or before January 30 positively. Arrest Burrewar and produce him before SCDRC,” the letter said.

Advocate Arvind Waghmare, who represented the three complainants, Paresh Kukudkar, Milind Karmakar and Gattu Chakravarthy, all residents of Chandrapur, said, “SCDRC in its order dated January 6, 2017 had directed the builder to refund the advance amount with interest of 15% per annum, compensation of Rs5 lakh each towards loss sustained by complainants for not providing them residential flats with the sale deed, Rs1 lakh each for physical and metal harassment and Rs10,000 each for cost of complaint. The builder failed to comply with the orders. Later, the builder filed a petition in NCDRC where he agreed to pay all the outstanding amounts by October 2019. The builder is yet to fulfil his financial commitments. I pleaded before the SCDRC regarding the non-compliance of the orders following which SCDRC issued a bailable arrest warrant,” he said.

The order was passed by BA Shaikh, presiding member and Jayshree Yengal, member.

As per the details given in the petition, the builder had started taking advance for his proposed multistorey building — Gruhlaxmi Palace at Beltarodi. The three complainants had booked two flats each at Rs25 lakh per flat in 2013. Two complainants had paid an advance of Rs4 lakh each. The third one paid Rs2.75 lakh in 2013. An agreement was executed with the builder, but he did not start construction of the scheme.

On October 20, 2014, the three complainants sent a notice to the builder, but he did not respond. On November 3, 2016, all the three complainants filed a case with SCDRC. Waghmare said that till date, the builder has not begun construction of the scheme.

FLAT FIASCO

*Gruhlaxmi Construction and Land Developers proposed a flat scheme e— Gruhlaxmi Palace at Beltarodi and started accepted bookings

* Chandrapur-based three residents booked two flats each at Rs25 lakh per flat

*The trio paid an advance and executed an agreement in 2013

* Notice served to the builder as he failed to begin construction

* Petition filed with SCDRC in 2016

* SCDRC ordered builder to refund advance with 15% per annum interest, compensation of Rs6.10 lakh each

* Builder failed to comply with the order

* Builder filed a petition in NCDRC where he committed to pay the outstanding amounts by October 2019

* Despite the commitment, builder failed to make payment

* SCDRC asked police to arrest builder and present him before the jury on or before January 30

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