Guys,
I had sent a letter to Central Himalayan asking them to give me an updated Account Statement and they refused to give it. I had paid them money in February and I do not have any statement reflecting this for almost seven months. I had requested for an updated statement as they keep referring to old statement not recognizing the amount I have paid (not sure what their intention is). Not only that they have illegally charged Interest which is not mentioned in any of the clauses of the contract. I had also highlighted the error.
Can you believe, a builder/realtor can refuse a statement. It is my right and their duty to provide the same. This riases serious questions about the Reliability, Ethics in Business and their trustworthiness. They are not honouring their own Legal Contract which shows how much Law abiding organization they are.
They reinforce the popular perception of builders as srcupulos, untrustworthy companies who fool people and take them for a ride.
I strongly advise to be very careful before investing int their projects. I am determined to not give up and do what-ever it takes to get justice. So unless you guys are ready for taking a risk on your hard-earned money look for more trustworthy names.
There are others who invested in CLoud 9 project in Ramgarh going through a similar pain. See below.
http://groups.google.co.in/group/cloud9_ramgarh
Will be back with more soon.
Sunday, September 23, 2007
Saturday, September 1, 2007
Cloud 9 Hill Town Ramgarh - Issue Continues
Guys,
Here I am back. I recently got a letter from Central Himalayan - The promoters of Cloud 9 at Khabrar, Ramgarh, district Nainital in response to the letter I had sent them.
The letter did not address any of the issues I had raised. The issues included Delay due to their Poor execution (the Project is not complete yet after almost 3.5 years) and Problems with Local people due to resources like water being stressed, No clause in agreement for Interest and Penalty to be paid by them for delays. They have just told me to pay the money due with interest @ 24%.
What is most intersting is that looks like that they do not keep good account of the money they have received. They were claimioney due which does not take into account the money I paid them in february 2007. I had to write back to them informing them of the same. Is it not amazing that aven after 6 months of receiving the payment they keep using incorrect Money due.
I have documents which which indicate the problems that i have been facing with this developer and may have to be brought in public domain for public interest.
Keep tuned for further updates
Here I am back. I recently got a letter from Central Himalayan - The promoters of Cloud 9 at Khabrar, Ramgarh, district Nainital in response to the letter I had sent them.
The letter did not address any of the issues I had raised. The issues included Delay due to their Poor execution (the Project is not complete yet after almost 3.5 years) and Problems with Local people due to resources like water being stressed, No clause in agreement for Interest and Penalty to be paid by them for delays. They have just told me to pay the money due with interest @ 24%.
What is most intersting is that looks like that they do not keep good account of the money they have received. They were claimioney due which does not take into account the money I paid them in february 2007. I had to write back to them informing them of the same. Is it not amazing that aven after 6 months of receiving the payment they keep using incorrect Money due.
I have documents which which indicate the problems that i have been facing with this developer and may have to be brought in public domain for public interest.
Keep tuned for further updates
Friday, August 31, 2007
Central Himalayan CLoud 9 Hilltown Ramgarh - Unreliable Property Developers
Guys,
I am starting this blog to keep all the folks investing in Real Estate informed about the pitfalls and problems of investing in India. This is also a community service for others to avoid the pain that I have gone through. Investing is central to people and Himalayan Region near Ramgarh is a Hot place due to its beauty with small town, beauty of Hills when ever they come out of Clouds and become visible.
The Story begins almost 3-3.5 years back when I visted Khabrar in Ramgarh near Nainital and was exposed to Cloud 9 Hill Town - a Property by Central Himalayan. I was sold of a dream of owning a small Villa in literally cloud 9 in a remote Himalayn Hill Town being promoted as Cloud 9 Hill Town at Ramgarh by Central Himalayan. The opportunity back then looked great of owning a small abode in clouds and I was excited that Central Hmalayan has brought this opportunity at Cloud 9 Hilltown, and I though of being smart to jump in early by buying a Villa at Ramgarh. Well that was the begining of the problems with Central Himalayan which were to come and shatter the dreams of a home in the Hills. First Central himalayan had promised to get my loan processed for the Villa at Ramgarh which took manay months and a lot of follow-up to finally get sanctioned.
Soon after paying the first Installment the problem started. First I got letters from Local folks there informing that there is acute shortage of Water in the area and hence Locals were against the Hill Twon to comeup over there. They complained and Local Authorities suspended the project. The Developer, it seems was also under fire for felling trees agaist the local laws.
The project was then delyaed for many months. The developer also advised us not to send any payment till further notice. Many months Later the request for money came in and when I approaced HDFC - the premier Indian Housing Loan Agency - I was told
a) That they cannot sanction the full loan as the proejct has not progressed well as well as the developemnt of my unit was not up to the mark.
b)They also informed me that they have stopped giving any loans for the property and for any other properties by this developer.
When I approached CEntral Himalayan, I was metup very rudely. They never gave any update on the project except for the general terms and did not provide any photographs to show the status of the project. The project was to be completed by October 2006 but is still far from complete even now.
Not only that they are now The developer is now blaiming us for the delay when in relaity they have delayed the project and even an independent assement by HDFC confirms this.
They are also forcing an interest on delayed payments when
a) There is no clause in the Agreement for the interest
b) The Delay is primarily due to poor Execution and Local issues
The developer even failed to sendout regular Demand Notes which are needed for processing loans.
I have never seen a developer who is so poorly managed and unethical. They are rude and very difficult to dela with. I am told that they have pressurazied other Villa owners and forced additional interest to them to cover themselves for the cost escalation due to their own poor planning, execution.
Now they are building a huge township there and I am worried that
a) Will the area with problems like water can be suistainable
b) I also fear that simialr unrest may comeup again leading to delays.
I am now contemplating taking legal resource and hope that others investing in ther may not go through similar fate.
I will keep you guys posted on the progress. Stay Tuned.
I am starting this blog to keep all the folks investing in Real Estate informed about the pitfalls and problems of investing in India. This is also a community service for others to avoid the pain that I have gone through. Investing is central to people and Himalayan Region near Ramgarh is a Hot place due to its beauty with small town, beauty of Hills when ever they come out of Clouds and become visible.
The Story begins almost 3-3.5 years back when I visted Khabrar in Ramgarh near Nainital and was exposed to Cloud 9 Hill Town - a Property by Central Himalayan. I was sold of a dream of owning a small Villa in literally cloud 9 in a remote Himalayn Hill Town being promoted as Cloud 9 Hill Town at Ramgarh by Central Himalayan. The opportunity back then looked great of owning a small abode in clouds and I was excited that Central Hmalayan has brought this opportunity at Cloud 9 Hilltown, and I though of being smart to jump in early by buying a Villa at Ramgarh. Well that was the begining of the problems with Central Himalayan which were to come and shatter the dreams of a home in the Hills. First Central himalayan had promised to get my loan processed for the Villa at Ramgarh which took manay months and a lot of follow-up to finally get sanctioned.
Soon after paying the first Installment the problem started. First I got letters from Local folks there informing that there is acute shortage of Water in the area and hence Locals were against the Hill Twon to comeup over there. They complained and Local Authorities suspended the project. The Developer, it seems was also under fire for felling trees agaist the local laws.
The project was then delyaed for many months. The developer also advised us not to send any payment till further notice. Many months Later the request for money came in and when I approaced HDFC - the premier Indian Housing Loan Agency - I was told
a) That they cannot sanction the full loan as the proejct has not progressed well as well as the developemnt of my unit was not up to the mark.
b)They also informed me that they have stopped giving any loans for the property and for any other properties by this developer.
When I approached CEntral Himalayan, I was metup very rudely. They never gave any update on the project except for the general terms and did not provide any photographs to show the status of the project. The project was to be completed by October 2006 but is still far from complete even now.
Not only that they are now The developer is now blaiming us for the delay when in relaity they have delayed the project and even an independent assement by HDFC confirms this.
They are also forcing an interest on delayed payments when
a) There is no clause in the Agreement for the interest
b) The Delay is primarily due to poor Execution and Local issues
The developer even failed to sendout regular Demand Notes which are needed for processing loans.
I have never seen a developer who is so poorly managed and unethical. They are rude and very difficult to dela with. I am told that they have pressurazied other Villa owners and forced additional interest to them to cover themselves for the cost escalation due to their own poor planning, execution.
Now they are building a huge township there and I am worried that
a) Will the area with problems like water can be suistainable
b) I also fear that simialr unrest may comeup again leading to delays.
I am now contemplating taking legal resource and hope that others investing in ther may not go through similar fate.
I will keep you guys posted on the progress. Stay Tuned.
Subscribe to:
Posts (Atom)