Hyderabad: The Telangana Real Estate Regulatory Authority (TG RERA) has directed Ramky Estates and Farms Ltd. to refund Rs 98.05 lakh to homebuyers as the developer failed to hand over an apartment before the deadline.
It ruled that fit-out possession without an Occupancy Certificate (OC) cannot be treated as legal possession.
Hyderabad buyers sought refund after project delay
The complaint was filed by K Sravanthi and K Bhanu Prakash who booked a 1,585 sq. ft. apartment in Ramky One Symphony at Patancheru. The agreement was signed on July 26, 2022.
The apartment was purchased for Rs 1.03 crore and the buyers had already paid Rs 98.05 lakh.
As per the agreement, the builder had promised to hand over possession by September 30, 2025. Since the Occupancy Certificate was not obtained by the deadline, the buyers sought refund under the RERA Act on October 1, 2025.
Procedural delay cited
Ramky Estates informed TG RERA that the apartment construction had been completed before the deadline. The Occupancy Certificate was delayed due to procedural reasons, the developer added.
The developer said the Occupancy Certificate was issued on December 11, 2025.
TG RERA authority rejected the developer’s defence and said that possession cannot be legally offered without first obtaining an Occupancy Certificate.
The authority further clarified that fit-out possession has no legal validity under the Real Estate (Regulation and Development) Act, 2016.
Referring to Section 18(1)(a) of the RERA Act and the Supreme Court’s judgment in the Newtech Promoters and Developers Pvt. Ltd. case, TG RERA held that homebuyers have the statutory right to withdraw from a project if possession is not delivered on time.
Thee Ramky Estates and Farms Ltd. has been directed to refund Rs 98,05,087. The builder also need to give 10.70 per cent annual interest from September 30, 2025, until the date of payment.
