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Supreme Court Orders Halt on Sale of Mantri Serenity Apartments

In response to allegations of illegal termination of agreements between home buyers and the promoters of Mantri Serenity Apartment, the Supreme Court issued an order to ensure that the flats should not be sold to another party until further notice. The dispute arose when the promoters terminated an agreement with a home buyer, who had entered into an agreement with Mantri Castles Private Limited in 2013 with the expectation of possession by 2016.

The promoters terminated the agreement on October 18, 2023, and refunded the amount deposited by the appellant through RTGS mode into his account. The appellant immediately protested this action by sending an email to the respondents.

During the court proceedings, the counsel representing the respondents, formerly known as Mantri Castles Pvt Ltd and now Castles Vista Pvt Ltd, informed the Supreme Court that the flat allocated to the appellant is still available.

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In its order dated April 30, 2024, the Supreme Court directed the respondents to maintain the status quo regarding possession or allotment of the subject flat/apartment to a third party until further orders. The court also noted that the appellants had not taken possession of the subject flats/apartments due to the unavailability of the Occupancy Certificate.

The Supreme Court adjourned the hearing of the petition to July 23, 2024, following submissions from both sides. Dhananjaya Padmanabhachar, Sanchalak of the Karnataka Home Buyers Forum, welcomed the court's decision, emphasizing that terminating agreements during pending legal proceedings disrespects the court's authority. He cited a recent order by the Karnataka RERA Authority regarding the Mantri Pinnacle project, highlighting that agreements cannot be terminated while matters are pending before the authority.

May 6, 2024 3:47 p.m. 5592

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