MahaRERA Directs Piramal Estate To Waive 50% Interest & GST On Homebuyer For Delayed Instalment

The Maharashtra Real Estate Regulatory Authority (MahaRERA) on 23 February directed Piramal Estate to waive 50% of the interest and GST levied on a homebuyer for delayed payment of an instalment in its Thane project.

A Bench comprising Mahesh Pathak (Member-I) observed that the delay could not be attributed solely to the homebuyer, as issuance of the No Objection Certificate (NOC) by the builder also contributed to the delay in loan disbursement. The Bench noted:

“In view of these facts and circumstances, MahaRERA is of the considered view that the levy of the entire interest and GST by the respondent for the period from 06-05-2025 to 04-06-2025 is not fully justified.”

The homebuyer (Complainant) had booked a flat in the project “Vaikunth Cluster 3 T1” developed by Piramal Estate in Thane. The flat has a carpet area of 42.21 sq. m. The booking was made on 4 April 2025, and the parties executed an Agreement for Sale on 5 May 2025.

The homebuyer contended that the sales team had assured him that registration would be completed within seven days of payment of the booking amount, and that the Agreement for Sale would be provided within three days of registration. However, the process was delayed, and the agreement was handed over only on 5 May 2025.

After receiving the agreement, the homebuyer initiated the process for a home loan to finance the purchase. He alleged that the delay in providing the agreement and issuing the NOC affected the timeline for loan disbursement.

Subsequently, the homebuyer received payment reminders from the developer along with interest and GST charges for the period between 6 May 2025 and 4 June 2025, totaling around Rs. 70,000. The developer waived Rs. 10,000 but maintained that the delay was attributable to the bank.

Aggrieved, the homebuyer approached the Authority seeking a direction to waive the remaining amount, arguing that the delay in documentation and issuance of the NOC contributed to the late payment, rendering the charges unjustified.

The Authority noted that the dispute was limited to the levy of interest and GST on the instalment due on 6 May 2025. While it was undisputed that the instalment was paid only after 4 June 2025, records showed that the homebuyer received the registered Agreement for Sale only on 5 May 2025, and the NOC required for loan disbursement was issued on 3 June 2025.

The Authority observed that payment of the instalment was linked to completion of certain procedural steps, including issuance of the registered agreement and NOC by the promoter. Since these steps were completed close to the due date or thereafter, the delay could not be said to be entirely attributable to the homebuyer.

At the same time, the Authority noted that the homebuyer had opted for a home loan and had agreed under the Agreement for Sale to pay interest in case of delayed payment. Therefore, a complete waiver of interest was not justified, even though part of the delay was linked to procedural requirements.

Accordingly, the Authority partly allowed the complaint and directed the builder to waive 50% of the interest along with the corresponding GST levied for the period between 6 May 2025 and 4 June 2025.

It further directed that any excess amount recovered shall be refunded or adjusted within 30 days, while the remaining interest shall be payable by the homebuyer in accordance with the agreement.