Promoter Must Pay Delay Interest For Accepting Over 10% Without Registered Sale Agreement: Haryana RERA

The authority termed this as “violation of the provisions of the Act, and shows its unlawful conduct.”

Grammy Communications Pvt Ltd was allotted a retail unit in the Park Street project in Sector 85 Gurugram. The allotment letter was issued on 18 September 2021 and the parties signed an MoU on 27 May 2022. The total price was Rs.1.15 crore and the buyer paid Rs.75 lakh. The MoU fixed possession for December 2023 with a six month grace period.

The buyer said the project had no Occupancy Certificate and no offer of possession. It sought execution of the agreement and delay interest. It also requested the Authority to set aside two demand letters of February 2025 and to enforce a GST benefit of Rs.4.24 Lakhs promised under the MoU.

The promoter did not file a reply despite appearing in November 2025. The Authority struck off its defence.

Authority held that Section 13(1) of the Real Estate (Regulation and Development) Act, 2016 bars a promoter from taking more than 10% of the cost as advance without a registered agreement. It fixed the due date of possession as 30 June 2024 and allowed the grace period.

Authority directed interest at 10.80% per annum from that date until a valid offer of possession plus two months after the Occupancy Certificate or actual handover whichever is earlier.

Authority declined the GST relief. It noted that the MoU makes taxes the buyer's responsibility and the due date fell after GST came into force. It held that the buyer can ask the promoter for a breakup of the GST charged and proof of payment to the department. It also barred the promoter from charging anything beyond the MoU. The promoter shall hand over possession and execute the conveyance deed after getting the Occupancy Certificate.

For Complainant: Advocate Harshit Goyal

For Respondent: Advocate Jagdeep Yadav