Tuesday, May 9, 2017

It's now final, RERA will not act against illegal constructions..

Giving full stop to the discussion on whether Real Estate Regulatory Authority (RERA)  will act or not on  the illegal projects that do not register themselves with it, the Maharashtra RERA has categorically given indications that it will not act against the illegal projects that do not register with it.In an official reply to this writer RERA has said that the complaint should be filed with the registration number given to that specific project. The big question is, then why the projects that have violated all the rules and regulation and cheated people will get registered with RERA and invite unnecessary trouble for themselves? .

This writer had filed complaint with RERA to take suo motu action against a plotting scheme named Rose city by Temple Rose Real Estate Private Limited ( TRREPL) in Pingori village of Purandar taluka of Pune district.TRREPL sold  around 5,294 plots on the claim that there were 'proposed Non Agriculture (NA)' plots. It has also uploaded the names of the plot purchasers on its website, however there is no sale deed registered with the Department of Registration. Pingori village in Purandar taluka of Pune district is surrounded by hillocks from three sides. Almost 80% of the land is a hilly terrain and hence cannot developed into a township, or for residential/industrial purposes.No permission of township or Non agriculture has been obtained or applied for.

Moreover the land never belonged to TRREPL . It erlier belonged to its sister concern  Temple Rose Live Stock Farming Private Limited ( TRLSFPL). However TRLSFPL has also sold that land to somebody else. That means (TRREPL) doesnt have any land to develop. So question of obtaining permission  from any authority  for it’s project or registering with RERA doesn’t arise at all. Even then it is still advertising the said project . It has also launched several other such illegal projects in Maharashtra. The list was such projects was also supplied with the complaint.

As per The Real Estate act 2016  no promoter is allowed to advertise, market, book, sell or offer for sale, or invite persons to purchase in any manner any plot, apartment or building, as the case may be, in any real estate project or part of it, in any planning area, without registering the real estate project with the RERA. However projects that are ongoing on the date of commencement of the Real Estate Act and for which the completion certificate has not been issued,  90 days period has been given to register those with RERA. But what about the projects that are totally illegal  and can not  be registered with any authority including RERA  and still are advertising or selling the plots or flats ?. When RERA is not going to act against such projects on complaint or suo mottu then who will act against them ?

Actually as per the Real Estate Act, the RERA on a complaint or suo motu, relating to this Act or the rules of regulations made there under, it may, by order in writing and recording reasons therefor call upon any promoter or allottee or real estate agent, as the case may be, at any time to furnish in writing such information or explanation relating to its affairs as the Authority may require and appoint one or more persons to make an inquiry in relation to the affairs of any promoter or allottee or the real estate agent, as the case may be. But when RERA says that it will take action on the projects registered with it only then why the promoters of illegal projects will bother to register their projects?

The reply given to this writers complaint is reproduced here as it is

We are in receipt of your complaint sent through email dated 05th May 2017. The said complaint is against Temple Estate Pvt. Ltd. for unauthorized construction carried out by the said developer.
In this regards, this is to inform you that the promoter of the Real Estate Project has to register the upcoming or ongoing project/s for which occupation certificate is not issued with Maha-RERA within a period of 90 days from the date of establishment of Real Estate Regulatory Authority under the provisions of Real Estate (Regulation & Redevelopment) Act, 2016. After 90 days you can file online complaint by obtaining Registration number of project from Maha-RERA website

It appears reply is copy paste one, because complaint was not against the unauthorized construction it was about authorized plotting scheme.In complaint itself all the facts about why TRREPL will not register with were mentioned . Then what was the point in saying that after obtaining Registration number of the project with RERA only you can file complaint ?

Actually the real estate act was brought to ensuring Transparency & Efficiency in real estate sector in regards to sale of plot, apartment, building or real estate project and to protect the interest of consumers in real estate sector. However the way RERA has replied to this writers complaint there is no hope that largely unregulated business of illegal construction will stop and buyers will get sigh of relief.

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