News: Haryana RERA orders Ireo to pay 11% interest to NRI buyer for delay in plot handover-10-10-2025
GURUGRAM: The Haryana Real Estate Regulatory Authority (HRera) has directed developer Ireo Private Ltd to pay 10.8% annual delay interest to UK-based allottee Balraj Singh for failing to deliver possession of a plot at its Ireo City project in Sector 60 on time.
Singh booked the 314 sq-yard plot in 2011, but was finally offered possession in Dec 2021 and handed over the plot a year later, after repeated delays and a reduction in plot size. Since the project received consent in 2014 and due date of delivery was 2017, it was concluded that the man received the plot after an eight year delay.
Rejecting IREO's claim that pre-Rera agreements are outside the Act's purview, the Authority ruled that RERA protections extend to ongoing projects, and approval-related delays don't exempt developers. IREO has 90 days to comply, reaffirming HRera's commitment to homebuyer rights.
The HRera bench, headed by member Ashok Sangwan, found that Ireo had repeatedly delayed delivery, finally offering possession in Dec 2021 and handing over the plot a year later in 2022 — after an eight-year delay. The authority also noted that Ireo reduced the plot area to 265.45 sq. yds. but continued to charge Singh for the larger original area.Singh claimed that he had made all payments on time yet possession was not delivered within the agreed period.
The authority determined the due date of possession as Feb 14, 2017 — 36 months after IREO received consent to establish — and directed the developer to pay delay interest at 10.8% per annum from the due date until the offer of possession, plus two months or until actual handover, whichever is earlier. The developer has been given 90 days to comply or face further legal action.
