In a recent ruling, Bengaluru’s Karnataka State Consumer Disputes Redressal Commission has ordered Mega City (Bengaluru) Developers & Builders to compensate 81-year-old PP Sharma ₹7 lakh. Sharma, a retired HMT manager, had been sold a litigation-prone site by the developer, which lacked legal rights for sale.
Sharma initially received a 2,400 sqft site in Vajragiri on August 26, 1999. When the builder failed to execute the sale deed, Sharma faced numerous delays before a new site in Sheshagirihalli village was allocated on April 6, 2009. Sharma paid a total of ₹4.9 lakh for the site, including development and registration charges. However, he soon discovered that the site was under litigation, with the original owners retaining possession through a court order.
Sharma filed a consumer complaint seeking a refund. The builder argued that the complaint was time-barred, citing a 12-year delay. The commission rejected this, stating the limitation period began from Sharma’s legal notice on September 23, 2020. The commission found the developer guilty of deficient service and unfair trade practices for not disclosing that the site was already contested.
The commission directed Mega City Developers to refund Sharma’s ₹4.9 lakh with 12% annual interest, in addition to ₹2 lakh for mental agony and ₹25,000 for litigation costs.