Saturday, February 22, 2014

32 Flat Buyers & Hubtown Countrywoods - David & Goliath

About Consumer Court Case Against  Ackruti Jay Developers, Builders of  Akruti - Ackruti - Hubtown Countrywoods Kondhwa Pune:


David and Goliath, a colour lithograph by Osmar Schindler (c. 1888)

1) Light at the End of the Tunnel:


PUNE DISTRICT CONSUMER DISPUTE REDRESSAL FORUM, PUNE

Last Saturday, Honorable V. P. Utpat, President, Pune District Consumer Disputes Redressal Commission, rejected Ackruti Jay Developers' application.

Referring to the clause in the flat agreement, Ackruti Jay Developers argued that not the consumer court but an arbitrator (appointed by the builder!) has a right to look into this matter.

The consumer court not only rejected the builder's argument but ordered Ackruti Jay Developers to pay Rs. 25,000 as a penalty to each  of the 32 complainants.

Under  section 12 of the Consumer Protection Act 1986, in 2012 / 2013, these 32 flat owners in Akruti - Ackruti - Hubtown Countrywoods had filed complaints against the builder Ackruti Jay Developers.

These 32 flat buyers are praying for -

1)  Damages for mental pain & agony because of deficiency in service provided by the builder

2) EMI from the date mentioned in the agreement to the actual date of possession

3) Rent from the date mentioned in the agreement to the actual date of possession

4) Loss of Income Tax benefit because of the delay in getting possession of a flat

and have requested the court to direct the builder Ackruti Jay Developers -

1) Correct defects, shortcomings & lacunae in construction of flat & building

2) Complete all promised amenities - provide essential services

3) Get necessary completion & occupancy certificate

4) Form Co-Operative Housing Society

5) Execute deed of conveyance in favour of this Co-Operative Housing Society

Now, the final hearing is on 15th March 2014.

It means that, now, all these 32 flat buyers in Akruti - Ackruti - Hubtown Countrywoods can see the light at the end of the tunnel. Long tough times in their life would be over, soon. I told myself.

Though I don't know any  of these 32 brave flat owners personally, for years, I was following Akruti - Ackruti - Hubtown Countrywoods on Indian Real Estate Forum, Facebook & CONFONET - Computerization & Computer Networking of Consumer Forums in County - (www.confonet.nic.in) (Case Number CC/12/588 to 594. CC/12/596 to 603. CC/13/25 - 26 - 27 & 29 to 39).

2) Visit Akruti - Ackruti - Hubtown Countrywoods Kondhwa Budruk Pune:



(To View More Photos - Put Your Cursor Over the Current Photo)

Eager to meet the brave 32 flat owners, last weekend, I visited Akruti - Ackruti - Hubtown Countrywoods off Katraj Kondhwa Road.

You know? I was not at all tense when I visited the site. I was sure that I was not going to face any embarrassing situation. I was not going to meet any flat buyer who would say - "Here comes Mr. Ravi Karandeekar whom I consulted before booking a flat at Hubtown Countrywoods."

However, in some cases, I hope that I would be proved wrong. Yes, I would love to face embarrassing situation. I am looking forward to meet a property buyer who would say - "Mr. Ravi Karandeekar, you were wrong about this project. I didn't listen to you & booked a flat in this project. Now, see for yourself. Entire project is complete - on schedule - as planned!"

Every night before going to bed, I pray - "God, please, prove me wrong about Xrbia Hinjewadi, KUL Nation, KUL Ecoloch, Sahara City Homes Pune, PRA Lake District, PRA East Avenue. Give the property buyers their flats for which they have put their life in danger!"

Point is - I never had a positive opinion about this project & it's builder. I always had doubts & serious concerns about Akruti - Ackruti - Hubtown Countrywoods and it's builder Akruti City / Ackruti City / Hubtown / Ackruti Jay Developers. I didn't have any proof. But my gut feelings were giving signals about an ugly tragedy.

Last weekend, when I visited Ackruti Hubtown Countywoods, it looked liked an abandoned town. There were no security guards. In the first cluster, a couple of cars were parked. Painters were giving second coat to these buildings. Children of construction workers were playing in landscaped garden of this cluster.

I roamed around the project. I visited the clubhouse. But I didn't feel like visiting the sales office in it. Painted buildings & clubhouse looked like a trap. Set to catch new, naive visiting flat buyer.

I visited a few buildings. Some complete and occupied buildings in the first cluster. Some almost ready for possession buildings in the second. Some RCC structures with brickwork and plaster.

I went up in the lift and visited a few flats in which internal work was going on. I climbed a few staircases and visited a few unfinished flats.

Yes, of course, there were a few workers on the site. In one cluster, construction of under ground water tank was in progress.

But, the work was not going on with the intention to complete the entire project. Construction was definitely not in 'full swing'. Like it was when Akruti - Ackruti - Hubtown Countywoods was launched in April 2009.

I felt that the builder Ackruti Jay Developers was only pretending to work. So that no one can say that the project is stalled. Like it was almost stalled in 2011 / 2012.  

For a while, I stood looking at these half done RCC structures with brickwork & plaster. I don't know when I became one of those 32 property buyers who have gone to consumer court. Who have booked a flat in 2009 - 2010.  Whose possession date in agreement was December 2010 or 2011.

Today, on 15th February 2014, when I became one of them and was looking at the half done deserted RCC structure with brickwork & plaster - I felt hope. Someday, in near future, I may get possession of my flat in that building. I told myself. I felt good. Then I looked around. And asked myself -

But what about the entire 15 acre Ackruti Hubtown Countrywoods of around 1,200 Flats in 35 buildings which was supposed to be ready for occupation in September 2010?

Would Ackruti Hubtown Countrywoods ever be complete?

Can Ackruti Jay Developers complete the construction of the entire Ackruti Hubtown Countrywoods?

Does Ackruti Jay Developers have capacity to complete the construction of the entire Ackruti Hubtown Countrywoods?

Does Ackruti Jay Developers have an intention to complete the construction of the entire Ackruti Hubtown Countrywoods?

If Ackruti Jay Developers had capacity & intention to complete Ackruti Hubtown Countywoods - they would not have given away the rest of 45 acre land to Kolte-Patil Developers.

Yes, the total size of the project was 60 acres.

Does it mean that by giving away rest of the land, the builder has already accepted his incompetence?

Who's talking?

Ravi Karandeekar or one of the 32 brave property buyers in Hubtown Countrywoods?

One who has guts to go to consumer court wont be so pessimistic.

Having a doubt about the intentions of the builder is not pessimism. It's being practical. Being realistic. I told myself.

If it is practical, then why doesn't State Bank of India or Indiabulls or any bank who has given home loan raise question about completion of Hubtown Countrywoods as per the date mentioned in the agreement?

Are you stupid?

If you are paying EMI regularly - why would a bank bother to open your agreement and see the date of possession?

But what would be the value of my agreement if there is no property?

Only nationalized banks bother about mortgage - about property. For example SBI.

SBI which has given ADF to Hubtown Countrywoods!

Why didn't SBI take any action against Hubtwon Countrywoods?

Is it because I am paying my EMI to State Bank of India?

Should I stop paying EMI - for not getting possession of my flat and - force SBI to take action against Ackruti Jay Developers?

I know why only 32 out of some 500 flat buyers went to consumer court.

But, I don't understand why nobody who has a stake in this transaction has raised any question about Hubtown Countrywood.

Not a single bank.

And yes, not even Government of Maharashtra.

Yes! Government of Maharashtra which has collected stamp duty, registration charges & VAT from me.

Why do we pay tax to the government?

Isn't it responsibility of Government of Maharashtra to see that the tax payer gets the possession of the flat?

It was a tax. Not 'hafta' to gali ka gunda!

Wondering from where these 32 flat buyers got strength to fight for their rights, I left Ackruti Hubtown Countrywoods Kondhwa.

3) Kingdom of Evil & Devil:


Akruti Countrywoods Katraj Kondhwa Road (25-4-09)


In April 2009, Akruti City Ltd. was not in a good financial condition. Akruti was excluded from futures & options (F & O) segment. From Rs. 1826.9 Akruti's stock had dropped to Rs. 999.45. To prevent further down fall, directors of Akruti had pledged their shares. 

Crisil, leading rating agency, had noted that
"Akruti’s aggressive development strategy is reflected in the fact that ongoing and planned projects are six times the size of its completed projects.  
The company has been facing extended delays in ongoing projects.   
The company’s liquidity has been adversely impacted by the overall slowdown in the sector, coupled with its aggressive development strategy and increased focus on commercial projects."

Akruti had a total debt of Rs 829.19 crore on its books as of March 31, 2008 and a debt equity ratio of 0.71. It had a negative cash flow of Rs 109 crore from operations as on March 31, 2008. 

In this financial mess, you can understand why Akruti City Ltd. invented "Just Perfect Homes" - Compact budget flat - with all amenities - for the upwardly mobile urban family. 

Because, urban middle class is the softest target & easy kill. 

Because, budget homes - affordable housing - is the safest, quickest & respectable way to raise interest free funds.  

(Remember? 'A Home for Rs. 100' in Raj Kapoor's 'Shree 420'!)


Ackruti Greenwoods in Thane. Ackruti Gardenia in Mira Road
In 2009, along with Akruti Countrywoods Kondhwa, Akruti City Ltd. launched 2 more 'Just Perfect Homes' projects. Ackruti Greenwoods in Thane. Ackruti Gardenia in Mira Road. 

Obviously, in 2009, all 'leading' & 'respectable' newspapers were publishing 'news-stories' - Overwhelming response to Ackruti's 'Just Perfect Homes'

Today, in 2014, 5 years after the launch, not even 100 property buyers are occupying their flats in Ackruti Hubtown Countywoods Kondhwa in Pune. 

Today, in 2014, 5 years after the launch, out of 1000 not a single flat buyer in Ackruti Gardenia in Mira Road has got possession of his flat. 




In this YouTube video, you can see their demonstration for possession and view a flat buyer threatening to commit suicide for possession. 

Today, in 2014, 5 years after the launch, look what is happening at Ackruti Greenwoods in Thane -

Hi All,

First of all let me tell u all that I am new to this forum.

I am also a frustrated customer of Hubtown as I have also booked a flat in Thane Project "Hubtown Greenwoods" in the year 2009.

Even now, in 2014 50% work of the project is not completed. The builder is not giving us even a probable possession dates.

The only positive thing is that we, the flat owners are united in large numbers, well connected with each others.

Now we are left with no option but to file a case in consumer court at the earliest.

As i was reading this forum, i came to know that some of you have filed a case in consumer court against Hubtown.

Can anyone of you guide us on the procedures that you all follwed to file the case in consumer court and what problems did you came across.

This will help us a lot as lot of time will be saved.

You can write me on "shalio77thane@.com" .

Please reply guys as your valued suggestions will be very beneficial to us all.

Thanks and best regards...
 What say you? 

Is the delayed possession of all these 3 budget housing projects of Hubtown Ltd. a mere 'coincidence'?

Do you think that Hubtown Ltd. has any intention & ability to complete all these 3 projects?

Why are all banks who have given housing loans to flat buyers not bothered about completion of Hubtown Ltd's 3 projects?

Isn't it a duty of Government of Maharashtra - which collected stamp duty, registration charges & VAT from the flat buyers in these 3 projects - to help these flat buyers  get possession? 

Oh My God! How stupid  am I to expect anything from Government of Maharashtra!! 

I just went on talking about Akruti City Ltd - Hubtown Ltd. and forgot to tell you about "Jay" in Ackruti Jay Developers. 

M/S Jay is non other than Jayant Shah, son of Hiralal Shah of Jairaj Group (www.jairajdevelopers.com).  

You know who is Jayant Shah?


In his deposition before Adarsh prob committee, Jayant Shah has told that his son Malav, who also owns a flat in Adarsh, has given unsecured interest free loans to Ashok Chavan's relatives to buy a flat in Adarsh. 

That's not all! 

Jayant Shah has done a lot for Ashok Chavan. Here is a small glimpse of Jayant Shah's role -
 According to the sources, Chavan was so close to Shah that without Shah's approval Chavan would not sign any files. 
Every time in-order to get our files cleared we had to first sit with Shah, said a city based developer.  
According to the sources Shah used to negotiate with developers due to his closeness with Chavan.  
We had to pay huge amounts to Shah, for getting our files cleared, said the city based developer.  
We were shocked to receive his calls even after Chavan had resigned. He summoned us and told us to cough up money otherwise he would see that Chavan makes negative remarks on the files, so that even the new chief minister would not be able to clear our proposals, said the source.  
Just because Shah, did not give clearance, Chavan would not clear files, as a result hundreds of files are lying on CM's table since long, said source. 
According to sources, Shah, who is originally a rice vendor from Pune, played an important role in the posting of officials across various state departments particularly the MMRDA, Mhada, SRA, BMC and RTO. 
Shah allegedly took huge sums of money from these officers on the pretext of giving them plum postings in these departments, as they are considered lucrative. 
Shah had suggested and recommended postings in each and every department, a city-based developer alleged. 
   
 Yes. Now the picture is clear. Now, you know who is the enemy of these 32 brave flat buyers in Akruti - Ackruti - Hubtown Countrywoods Kondhwa

What say you?

Aren't these 32 flat buyers really brave?

Isn't this fight between good & evil?

Wouldn't you like to support these 32 Aam Aadmis to win the consumer court case?

Please, share your views in the comments.    
                
P. S.

One sec. Yes, fight is tough. But wining is possible. Why?

Because, Mr. Shashi Govind Gadakh, a flat owner in Ackruti Hubtown Countrywoods has already won against Ackruti Jay Developers and received compensation for delayed possession of flat. Have a look at this news published on 31st October 2013 in Sakal!

 Shashi Govind Gadakh, a flat owner in Ackruti Hubtown Countrywoods has already won against Ackruti Jay Developers

Updates:


1) What can 3,000 flat buyers of Ackruti Hubtown do?


Related Stories:


1) Ivy Estate Wagholi to Start Giving Possession of Flats!

2) Get Compensation for Delayed Possession of Flat in Ivy Estate Wagholi

3) Kolte-Patil Developers - Tell the Truth and Shame the Devil

4) What happens if a bank takes over a housing project? 

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26 comments:

  1. OMG,,,,this is so unbelievable..I distinctly remember this project & the advts during launch time. The impression was that this is some really good builder & project ..& look what it has become..
    Thanks for highlighting such builders...Great job Ravi.

    ReplyDelete
  2. This is really shocking situation. And great job done by 32 flat owners. Hope they will get there dream flat along with compensation. Ackruti is getting more damages which can be avoided giving smooth possession to all these buyers with compensation else court will teach lesson. Thank you Ravi sir for finding such fighter which seems very inspiring.

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  3. Isn't it high time India needs regulator for real estate sector? Money collected for a project should be used for that project only. I think I am daydreaming. Hope this will happen in my lifetime.

    ReplyDelete
  4. The 32 flat owners are really David against the Goliath. Great job. Also great job Ravi for doing your David's role by highlighting the situation. सत्य सदा विजयी होता है, केवल मात्र निमित्त बने !

    ReplyDelete
  5. I am one of the sufferer from the hand of Ackruti Builder really don't know what to do.

    ReplyDelete
  6. Well done !! Bravo !! I am also one if the customers of akruty kondhwa. I settled the matter as I moved into ready possesion. Now I realise that I should have joined you 32 guys. My prayers and wishes are with you Ravi..

    ReplyDelete
  7. almost similar situation happened with people who booked in R Euphoria. As promised the possession was Aug 2011 but people got possession in Oct 2012. Tht too with third class quality. Runwal has really ruined peoples faith and their hard earned money.

    ReplyDelete
  8. Thanks a lot Ravi, for writing such a nice blog. Every one out of all 32 members is really thanking you a lot .... We are waiting for a final Consumer court decision.
    Still long way to go, Builder has started very negative approach by denying possession of ready flats for those buyers who has filed case against him, Builder is forcing those buyers to withdraw the case and then only opt for possession.

    We are ready for long fight against builder with your valuable help and support !!!!

    Thanks again Ravi !!!!!

    ReplyDelete
  9. Salute to bravery of 32 and to you for the support to fight against devil.

    ReplyDelete
  10. Me and My 2 two friends booked the flat at the same time when this project was launched, one of my friend was asking me to cancel my booked flat and purchase a flat with them in Akruti City Kondhwa. But I was happy with my flat with a very little amenities as compared to the Akruti city Kondhwa. It's almost 4 years that I have shifted to my flat and enjoying there, while my friends (who booked flat in Akruti City Kondhwa are still waiting for the same. The point is sometime you have to be Happy/Satisfied for what God has given to you !!!!!!!!!!

    ReplyDelete
  11. This is inspiration of hundreds of other Pune citizens who have been subject to late possession. Great going. I am sure something similar will start happening with some of the kolte patil projects that have been delaying possession.

    ReplyDelete
  12. Ravi,
    Like Kolte Patil has Ackruti builder not invited you to share their side of story?

    ReplyDelete
    Replies
    1. Yes Ravi,

      Has anyone from Ackruti, tried contacting you to share thire side also?

      Delete
  13. HubTown must give both possession and compensation to survive in market. Every buyer is doing market survey and referring such blogs and consumer case results. Why Government and banks are not looking into this matter? Banks also getting cheated in this matter as there money is getting used for different purpose. We hope HubTown will change company name in coming few months.

    ReplyDelete
  14. Mr. Karandikar why don't u come up with your own project, we're these problem will be taken care off.

    ReplyDelete
  15. Arvind first complete Hubtown projects then suggest others. Dont work with cheaters. You will realize one day how bad work you are doing and God will give returns to all of you. Don't play with hard earned money of common man. In 5 yrs project is not completed and still giving false dates to flat buyers.

    ReplyDelete
  16. Great work folks, i guess we all need to support the cause and make sure these guys get blacklisted somehwere....

    ReplyDelete
  17. Horrible company. Hubtown is worst. Be away to live in peace.

    ReplyDelete
  18. Mr. Hemant Buddhiwant the owner of Trishul Builders is CHEATED more than 500 peoples who booked a flats in Shalini Lakeview project in 2009. On December 2010 when we personally visited the site we saw that all was demolished. After inquiry from people around we came to know that the land belonged to the government & so this was an illegal construction. we went to Trishul builder's office immediately, earlier they had an office near swargate and Kothrud Depot, now they shifted to Koregaon Park and Pisoli. After reaching the office we give a very convincing talk about how the building was demolished & how the builder was not aware. They tried to convince us to invest in the new property, 2-3km away. we immediately the same day drove down to the location where they were suggesting the new building, IT IS JUST LAND. There is no constructing there.When we asked for my money to be returned, they are not returning it to us. Since December 2010 till date we have been to their office every week just to get a new commitment date, but no money. we don't know how to get our money back.
    If u want to know more about Trishul Builder search on Google his name 'Hemant Buddhiwant'
    He got three BIG awards for same illegal project, name 'Shalini Lake View residential project' in Undri, Pune City, Award Name is: 1) Bharat Gaurav Award. 2) Indira Gandhi Sadbhavna Award. 3) Rajiv Gandhi Shiromani Award
    For since 2009 to 2014 they are NOT Taking any Stern & Concrete Action / Deliberate Dereliction / Non Performance of Their Duties – To PROTECT ACCUSED who are Rich & Powerful & they are BRIBING / USING POLITICAL INFLUENCE / LYING
    If you want to know more please check below blog
    http://bewareoftrishulbuilderspune.blogspot.in/
    https://www.facebook.com/adhocslvcommittee.trishulbuilder

    ReplyDelete
  19. This builder doing big advertisements at BKC MMRDA Ground - Mumbai for the same Greenwoods Thane Project.

    ReplyDelete
  20. Need suggestions , why not to buy 2 bhk flat in Ackruti (Hub Town) Pune , Country woods???
    I have heard from lot of peoples that buy a flat in other projects in that area instead of this project, due to the projects QUALITY ....
    Actually i have visited the site and after inquiry i found no issues are there , not even water supply problems or no electricity problem etc.
    I found the township quite good.
    Also i am getting a 2 bhk flat below 38 lakhs, and i found the flat quite decent, while this is the VERY CHEAP RATE in that area.
    So i doubt to buy here, even though i am getting the cheapest rate.

    Plz give me suggestions.

    My mail-id :- prinshaw@gmail.com

    ReplyDelete
    Replies
    1. Hi Prince,
      Actually; I should encourage you to buy as if people buy, we could get work complete and avail possession. However this would be selfish comment if I lie on this.

      If you want to buy headache, please go ahead. There are lots off issues as I am victim of it and waiting for possession since 2011. Not sure how you came to know that there is no problem of electricity and water. I think you met only those folks who are in win win situation.
      Please dont buy headache just because it is available with low cost.

      Delete
    2. Dear Nileshji Hv u got the possession now or its still awaited ? On 4th Jan I visited the project coz i wanted to purchase a flat there I found so many families dwelling there. so I just want to know if the issue of possession is solved now. Pls let me know.. Abhijit 8693830555

      Delete
    3. Dear Abhijit, better spend 4 weekend in this project. Ring the bell & talk to 101 residents. And then make your decision.

      This will save your time. Otherwise, renting a flat for 11 months in Countrywoods and then making your decision to buy is the safest way to book a flat when the project is at least partly occupied.

      Delete