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[Cites 3, Cited by 0]

Bombay High Court

Rite Developers vs Sagar Sunderrao Sangekar on 18 July, 2025

Author: Madhav J. Jamdar

Bench: Madhav J. Jamdar

 2025:BHC-AS:29826                                                         913-SAST-4875-2024.DOC




                               IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                            CIVIL APPELLATE JURISDICTION
                                      SECOND APPEAL (ST) NO.4875 OF 2024
                                                             WITH
                                  INTERIM APPLICATION (ST) NO.5789 OF 2025
                     Rite Developers & Anr.                                      ...Appellants
                           Versus
                     Sagar Sunderrao Sangekar & Anr.                             ...Respondents


                     Mr. Chirag Sarawagi a/w. Mr. Shubham Shah i/b. Mr. Tushar
                     Garodia, for the Appellants.
                     Ms. Riti Gada i/b. Dua Associates, for the Respondents.


                                                   CORAM:      MADHAV J. JAMDAR, J.
                                                   DATED :     18th JULY 2025
                     JUDGMENT:

1. Mr. Sarawagi, learned Counsel appearing for the Appellants submits that the following substantial questions of law arise in this Second Appeal:

(a) Whether the Hon'ble Maharashtra Real Estate Appellate Tribunal ought to have heard and considered the Miscellaneous Application on merits rather than dismissing the same on the ground of alleged delay?
(b) Whether the Hon'ble Maharashtra Real Estate Appellate Tribunal ought to have considered that in Digitally the facts and circumstances of the present matter, signed by SONALI the Appellant could have never filed the SONALI MILIND MILIND PATIL PATIL Date:
2025.07.18 17:27:24 +0530 Page 1 Sonali ::: Uploaded on - 18/07/2025 ::: Downloaded on - 02/08/2025 05:53:57 ::: 913-SAST-4875-2024.DOC Miscellaneous Application within 30 days from the order dated 16th January 2023 seeking restoration of the Appeal as prescribed under the Rules because the cause of action in the above matter arose only after the Hon'ble MAHA RERA had forwarded letters dated 3rd April 2023 and 26th June 2023 seeking payment of the penalty amounts from the Appellants?

2. Mr. Sarawagi, learned Counsel tenders synopsis of relevant dates, which is as follows:

DATE AND EVENTS Sr. Date Particulars No.
1. 25.09.2018 Complaint filed by the Respondents against the Appellant before the Hon'ble MahaRERA inter-alia seeking execution of the Agreement for Sale.
2. 04.09.2019 The Hon'ble MAHA RERA passed an Order directing the Appellants to execute the Agreement of Sale with the Respondents. The Hon'ble MAHA RERA further directed the Appellants to pay penalty of RS.5,00,000/-

FOR contravening Section 13 of the RERA Act.

3. 28.09.2019 The Appellants filed an Appeal challenging the said Order dated 4th September 2019

4. 08.11.2019 The Hon'ble Appellate Tribunal passed an Order directing the Appellants to deposit 50% of the amount as per the Order dated 4th September 2019 as per Section 43(5) of the Act.

5. 16.12.2022 During the pendency of the Appeal, the parties settled the matter and executed an Page 2 Sonali ::: Uploaded on - 18/07/2025 ::: Downloaded on - 02/08/2025 05:53:57 ::: 913-SAST-4875-2024.DOC Agreement for Sale.

6. 31.12.2022 Thereafter, the Respondents took possession of the said flat pursuant to the Agreement for Sale.

7. 16.01.2023 Order passed by the Hon'ble Appellate Tribunal disposing the Appeal as withdrawn and directing the registry to return to the Appellants the amounts so deposited under Section 43(5) of the Act.

8. 03.04.2023 Letter forwarded by the Hon'ble MahaRERA Authority calling upon the Appellants to pay the Penalty of Rs.5,00,000/- imposed vide Order dated 4th September 2019.

9. 05.05.2023 Letter forwarded by the Appellants to Hon'ble MahaRERA clarifying why the Appellants are not liable to pay the Penalty.

10. 26.06.2023 Letter forwarded by the Hon'ble MahaRERA Authority stating that the Order dated 4th September 2019 was not modified or set aside.

11. 28.07.2023 Appellants filed Miscellaneous Application No.470 of 2023 seeking modification of order dated 16th January 2023.

12. 06.10.2023 Demand Notice issued by the Tahsildar Andheri, claiming Rs. 10,00,000/- from the Appellants

13. 24.11.2023 Letter forwarded by Advocates of the Appellants to the Tahsildar stating that they are not liable to pay the penalty amount.

14. 16.12.2023 Additional Affidavit filed by the Appellants in the Miscellaneous Application.

15. 18.12.2023 Order passed by the Hon'ble Appellate Tribunal dismissing the Miscellaneous Application No.470 of 2023.

16. 18.12.2024 Hence, the Second Appeal challenging the said Order dated 18th December 2023.

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3. The factual position as set out herein above clearly shows that the parties have arrived at settlement and therefore, the Appeal filed before the learned Appellate Tribunal was withdrawn.

Thereafter, MahaRERA authorities issued notice to the Appellant to pay the penalty of Rs.5,00,000/- imposed by order dated 4th September 2019. In view of the aforesaid, the Appellants filed Miscellaneous Application No.470 of 2023 seeking the following reliefs:

"a. That this Hon'ble Tribunal be pleased to pass appropriate Orders and/or directions for restoration of the above Appeal No.AT006000000031818 OF 2019;
b. That this Hon'ble Tribunal be please to pass appropriate Orders and/or directions for th modificaiton of the Order dated 16 January 2023 to the extent that the directions contained in the Order dated 4th September 2019 passed by the Hon'ble MAHA RERA i.e. directing the Appellants to pay penalty of Rs.5,00,000/- for contravening Section 13 under Section 61 of RERA be set aside."

4. Ms. Riti Gada, learned Cousnel apeparing for the Respondents states that in fact, the parties have settled the dispute and the flat in question has alredy been handed over to the Respondents. She therefore, states that the Respondents have no Page 4 Sonali ::: Uploaded on - 18/07/2025 ::: Downloaded on - 02/08/2025 05:53:57 ::: 913-SAST-4875-2024.DOC objection, if the Miscellaneous Application No.470 of 2023 filed before the MahaRERA is allowed in terms of prayer clauses (a) and

(b).

5. Accordingly, by consent of parties, the Second Appeal is allowed. The said Miscellaneous Applicaiton No.470 of 2023 filed before the MahaRERA is allowed in terms of prayer clauses (a) and

(b).

6. The Second Appeal is disposed of in above terms with no order as to costs.

7. In view of the disposal of the Second Appeal, nothing survives in the Interim Application and the same is also disposed of.

[MADHAV J. JAMDAR, J.] Page 5 Sonali ::: Uploaded on - 18/07/2025 ::: Downloaded on - 02/08/2025 05:53:57 :::