Miss Guidance and Fraud by a reputed builder

Location/place: New delhi

Name of company/service: Unnamed

Hi,

My Name is Raj, I have booked a flat from one the reputed builder (can’t share the name as of now) under Project Linked Plan (PLP) in NCR. At the time of booking they send us a mail from their official ID and confirmed us that this project is currently being financed from two banks (can’t share name the banks also) Bank 1 and Bank 2 under PLP. On the same mail they confirmed us to contact either these two banks for loan and shared the contact person details also for each bank. We contacted the first bank “Bank 1” through builder recommended representative for loan but they cancelled our loan application because of the SIBAL rating. Then we contacted the second bank “Bank 2” again through builder recommended representative only. After a lot of hassles and continuous follow up with the representative we got the sanctioned letter from the bank. The whole process with Bank 2 took around 45 days. After the sanctioned letter we chased them (Bank 2 and representative) for the disbursement of the loan amount. When even after 20 days of the sanction letter we didn’t get the loan amount, we went to the bank office and from there we came to know that the project has not been approved by the Bank (Bank2) under PLP as of now as a result bank will not be able to disburse the sanctioned loan amount. The Bank also confirmed the same thing to us by mail.

We were supposed to pay the second installment to the builder after 60 days of booking the flat (this whole process took around 80 days). We immediately wrote a mail to the builder and informed them about the communication with the bank. We also specify on the mail that since Builder has misguided us, “we will not be able to the payment (neither our share nor the loan amount approved from the bank but not disburse) till the date we don’t get the confirmation / disbursement of sanction loan amount from the bank”. We didn’t get any reply from the builder on the mail rather few days later they send a mail to us asking about the second payment and the interest amount that has been accrued. After that we have written 3. 4 mails to them but they have not responded.

This is a clear case of fraud and misguidance from the builder side. What i want to know is, 1. are we liable to pay the interest to them 2. what are the options that we have in this case.

Regards