The Bombay HC has found Darshan Developers guilty of contempt

In a significant ruling last week, the Bombay High Court declared Pravin Satra, the head of Darshan Developers, guilty of contempt for deliberately disregarding promises made before the court. The case revolved around the non-delivery of flats that were booked nearly two decades ago. About nine years ago, the builder, in a consent agreement filed before the High Court, committed to delivering possession of two flats within nine months to a couple who had approached the court seeking resolution.
Despite these assurances, the court observed that Satra had continuously failed to fulfil his obligations. Justice Manish Pitale, presiding over the case, emphasized that merely penalising the builder was insufficient; the contempt needed to be rectified. As part of the judgment, Satra was sentenced to three months in a civil prison. Additionally, the court directed him to pay a hefty sum of Rs 4 crore to the buyer, Achyut Godbole, a distinguished individual who is an alumnus of IIT Bombay, a software industry leader, and a prolific Marathi author.
Godbole, along with his wife, had booked two flats in a Vile Parle (East) project back in 2004. Despite the construction being ready up to the fifth floor, the possession was stalled due to height permissions and approval from the Civil Aviation Ministry, as claimed by the builder. The High Court took note of the fact that the occupancy certificate had been delayed due to the absence of a property card, as revealed in March 2019. In 2014, Godbole approached the High Court to appoint an arbitrator to address the ongoing dispute with the builder.
In response, the builder committed in October 2014 to hand over the flats within nine months. However, even by December 2017, no possession had been granted to the buyer. Frustrated by the lack of compliance, Godbole filed a contempt petition against the builder, leading to the recent judgment by Justice Pitale.
In the aftermath of the ruling, the builder's legal representative requested a stay to enable an appeal. While the High Court granted a stay on the sentencing order for six weeks, it did not halt the process of purging the contempt.
This case serves as a stark reminder that court orders and commitments made before the judiciary must be respected and adhered to. The judiciary's decision reinforces the principle that flouting court directives will have serious consequences, and individuals or entities held in contempt will face stringent penalties.

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The Bombay HC has found Darshan Developers guilty of contempt

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