NCDRC Dismisses Property Dispute Complaint As Time-Barred, Says Valuation Discovery Claim Cannot Extend Limitation Period

NCDRC Dismisses Property Dispute Complaint As Time-Barred, Holds Valuation Claim An “Excuse”

The NCDRC dismissed a consumer complaint against a developer and a bank as time-barred, holding that the complainant's claim of discovering the property's actual valuation only in 2025 was merely an "excuse" and not a valid justification for the delay. The Commission ruled that the cause of action arose in 2021 when the sale deed was executed, making the complaint beyond the statutory limitation period under Section 69 of the Consumer Protection Act, 2019.

📅 06 Sep 2026 👤 For: All Legal Professionals 📰 Source: LiveLaw 👁 3 views

The National Consumer Disputes Redressal Commission (NCDRC) has dismissed a consumer complaint concerning an alleged overvaluation of a residential property, holding that the complaint was barred by limitation under Section 69 of the Consumer Protection Act, 2019.

The Bench comprising Justice A.P. Sahi (President) and Member Bharatkumar Pandya observed that the complainant's assertion that he became aware of the property's actual valuation only in 2025 was merely an "excuse" and did not constitute a satisfactory explanation for the delay in approaching the consumer forum.

The dispute arose from the purchase of a row house in Bengaluru's "LGCL Beautiful World" project. The complainant had obtained a housing loan of approximately ₹2.99 crore from the State Bank of India and made total payments of around ₹4.35 crore towards the property. A sale deed was executed on 7 January 2021.

The complainant alleged that possession of the property was not handed over despite execution of the sale deed. Following a default in loan repayment, recovery proceedings were initiated under the SARFAESI Act. During those proceedings, the complainant claimed to have discovered in March 2025 that the property's actual value was significantly lower than the amount paid and that the developer and bank had allegedly facilitated an inflated valuation.

Based on this assertion, the complainant argued that the cause of action arose only in March 2025. However, the NCDRC rejected the argument, noting that the complainant was fully aware of the property's valuation, loan transaction, and sale consideration at the time of purchase in 2021.

The Commission further observed that the complainant was already aware of the SARFAESI proceedings and the possession-related developments that had occurred earlier. It held that a litigant cannot indefinitely postpone limitation by claiming a later discovery of facts that were reasonably knowable at the time of the transaction.

Relying on the Supreme Court's decision in Sheo Raj Singh & Ors. v. Union of India & Anr., the Commission reiterated that consumer complaints must be filed within the statutory period unless sufficient cause is shown. Finding no adequate explanation for the delay, the NCDRC dismissed the complaint as time-barred.

Case Title: Hamid Hussain Banday v. M/s LGCL Properties Private Limited & Ors.
Case No.: NC/CC/168/2025