Appeal No. 3 of 2024 and M.A. No. 3 of 2024

What the case concerns

The Tamil Nadu Real Estate Appellate Tribunal considered an appeal by M/s. Evita Constructions Private Limited and M/s. Lucifer Constructions Private Limited against A. Kandasamy Pandian and M/s. Hiranandani Palace Gardens Private Limited. The appeal challenged the order dated 13 September 2023 in C.C.P. No. 370 of 2021, passed by the Single Member of the Tamil Nadu Real Estate Regulatory Authority.

The parties informed the Tribunal that they had settled the dispute outside court. They submitted a Joint Memorandum of Compromise dated 21 February 2024, signed by the parties and their lawyers.

Settlement terms recorded

The Tamil Nadu Real Estate Appellate Tribunal took the Joint Memorandum of Compromise on record and disposed of the appeal according to its terms. The main terms are:

• The appellants agreed to withdraw the appeal and pay the claim amount with interest under the order dated 13 September 2023.
• The appellants had no objection to the complainant withdrawing the pre-deposit of Rs. 54,03,150 made for the appeal.
• The appellants agreed to pay a further Rs. 10,00,000 as compensation. The memorandum records that this amount was paid by RTGS and acknowledged by the first respondent.
• Upon receipt of the amounts, the booking and allotment of the flat and car parking, together with the allotment letter, sale agreement and development agreement, stand cancelled.
• The flat is identified as Apartment No. 1203, measuring 1,437 square feet, on the 12th floor of Warwick-II at Palace Gardens, Thriveni Nagar, Senthamangalam Village, Chengalpattu Taluk, Kancheepuram District.
• The first respondent agreed that disputes and claims concerning the flat and car parking were resolved and undertook not to begin further proceedings against the appellants and the related persons or entities listed in the memorandum.
• The memorandum requires withdrawal of the compensation petition, SR 176 of 2023, and execution petition, SR 229 of 2023, before the Tamil Nadu Real Estate Regulatory Authority, Chennai.

Effect of the decision

The Tamil Nadu Real Estate Appellate Tribunal confirmed that the first respondent may withdraw the entire accrued interest along with the amount awarded by the Tamil Nadu Real Estate Regulatory Authority. The connected miscellaneous application was closed.

The question concerning Section 15 of the Real Estate (Regulation and Development) Act, 2016, pending before the High Court in C.M.S.A. No. 45 of 2021, was expressly kept open. The decision resolves the dispute between the named parties through settlement rather than deciding that issue.