Appeal No.145 of 2021
The Tamil Nadu Real Estate Appellate Tribunal, Chennai, issued Appeal No. 145 of 2021 on 2 September 2022, examining M/s. SSM Builders & Promoters' challenge to a common order of the Tamil Nadu Real Estate Regulatory Authority dated 6 October 2021. The appeal concerns whether the SSM Nagar project required registration, whether an arbitration clause removed the Authority's jurisdiction, and directions relating to unfinished amenities, but the supplied text does not include the Tribunal's final decision.
What the appeal covers
Appeal No. 145 of 2021 concerns the SSM Nagar housing project at Alapakkam, New Perungalathur, Chengelpet District. M/s. SSM Builders & Promoters appealed against a common order passed by the Tamil Nadu Real Estate Regulatory Authority in complaints filed by flat allottees and the Srimathi Sundaravalli Memorial Nagar Flat Owners Association, also known as the SSM Nagar Flat Owners Association.
The project covered about 49.28 acres and proposed 66 blocks, comprising 59 residential blocks, six commercial blocks and one club house block. The allottees said their flats were due by March 2016 but were handed over only on 3 September 2018.
Directions challenged by the promoter
The Tamil Nadu Real Estate Regulatory Authority's common order dated 6 October 2021 included these directions:
- Register the project with the Authority on or before 31 December 2021.
- Provide and complete all pending amenities on or before 31 March 2022.
- Allow the allottees to file separate compensation claims for delayed possession before the Adjudicating Officer.
The promoter challenged the registration direction and argued that the project was excluded because an application for a completion certificate had been filed with the Chennai Metropolitan Development Authority on 16 May 2017. The completion certificate was issued on 21 August 2017.
Issues considered by the Tribunal
The Tamil Nadu Real Estate Appellate Tribunal identified three questions:
- Whether the project was ongoing on 1 May 2017 and therefore required registration.
- Whether an arbitration clause in the construction agreement removed the Tamil Nadu Real Estate Regulatory Authority's jurisdiction.
- Whether the appeal should be allowed.
The Tribunal recorded that the promoter had acknowledged on 21 October 2017 that some development works remained. It also referred to material indicating that the club house remained incomplete and electricity service connection work for all 3,087 flats was pending as late as April 2021.
Who may be affected
Appeal No. 145 of 2021 is directly relevant to M/s. SSM Builders & Promoters, the listed allottees and the flat owners association. It may also be useful to buyers and professionals assessing whether an incomplete project required registration despite a later application for a completion certificate. The supplied extract ends during the Tribunal's discussion and does not state the final outcome of the appeal.
This summary is generated from the source document to help you find what is relevant. The PDF above is authoritative. For advice on your own property, use LandLens One or speak to a qualified professional.
Common questions
Did the Tamil Nadu Real Estate Regulatory Authority require SSM Nagar to be registered?
Yes. Its common order dated 6 October 2021 directed the promoter to register the project on or before 31 December 2021.
Why did the promoter say the project did not require registration?
The promoter said it had applied to the Chennai Metropolitan Development Authority for a completion certificate on 16 May 2017 and argued that the project was therefore excluded from registration.
Could the flat buyers seek compensation for delayed possession?
The Tamil Nadu Real Estate Regulatory Authority permitted the complainants to file separate compensation claims before the Adjudicating Officer, who it said was empowered to decide compensation.
Does the supplied text say whether the promoter won the appeal?
No. The supplied text records the case, arguments and part of the Tribunal's reasoning, but it does not include the final decision.
