CAUGHT IN BLDRS’ TIFF Versova redevpt project investors to move court

Mumbai: Buyers who had booked flats in a Versova project will move the Bombay high court after a dispute between two of its developers left them in the lurch. 

    A hundred and sixty people had invested around Rs 60 lakh each with Vaidehi Akash Housing for flats in the redevelopment project of D N Nagar Cooperative Housing Societies between 2006 and 2008. But the project is caught in a legal fight between Vaidehi Akash and Rustomjee Realty, who later acquired the development rights on a portion of the land. 
    Suresh Mehta, one of the investors told TOIon Wednesday that some of them would file an intervention application in the HC, which is hearing the dispute between the two developers. "We have registered our agreements but both the parties are not willing to honour the commitments," he said. 
    Vaidehi was originally appointed by the society as developers in December 2005. The project involves eight buildings that house 480 families on the prime plot at Juhu-Link Road. Following financial constraints, Vaidehi assigned the development rights on a portion of land that falls under the free sale component to Rustomjee in April 2007. Vaidehi moved court in 2009, alleging that Rustomjee failed to fulfil commitments. 
    The HC has directed D N Nagar Cooperative Housing Societies Union and Rustomjee to file their replies to Vaidehi's application and that no development should be carried out till its plea is heard. It will hear the matter on Thursday. 
    Three other buyers had moved the state consumer disputes redressal panel, accusing Vaidehi of deficiency in service. But the panel rejected it, saying it was not a "consumer dispute". It said the flats could not be provided because the housing society terminated the agreement with Vaidehi.