GREATER NOIDA: The Uttar Pradesh Real Estate Regulatory Authority (UP-Rera) has suggested that promoters should keep separate bank accounts for maintenance as they have to transfer the balance amount to association of allottees (AoA).
In a draft document of UP-Rera for formation of resident welfare associations (RWAs) and AoAs, the regulator has sought opinion and given suggestion on whether a separate account be maintained by promoter for all incomes and expenditures on maintenance till handing over to AoA.
“It is desirable to have a separate account by the promoter for income and expenditure on maintenance, including interest of deposits. According to the rules, the promoter has to transfer the balance amount available with him against the maintenance charge to association of allottees once it is formed,” Rajive Kumar, chairman of UP-Rera, said on Tuesday.
“Some projects are completed in phases with a time gap in construction. Since each phase is an independent area, AoA has to be formed for each phase as per Section 14 of Apartment Act. Hence, phase-wise formation of AoA is a legal and practical requirement,” said Kumar.
“Regarding what should be the shape of AoA after the completion of all the phases, there is no much clarity on this issue, and this has to be discussed with the various stakeholders and a decision legally tenable may be arrived at,” said Kumar.
{{/usCountry}}“Regarding what should be the shape of AoA after the completion of all the phases, there is no much clarity on this issue, and this has to be discussed with the various stakeholders and a decision legally tenable may be arrived at,” said Kumar.
{{/usCountry}}However, Pankaj Goyal, a realtor and member of Credai-NCR (western UP zone), said, “Separate maintenance account is not going to solve the problem. Income and expenditure details of maintenance are made separately and AoA can verify the details. However, if UP-Rera feels there is a need for a separate maintenance account, we will take suggestions from promoters and send them to the regulator when it meets with promoters on the issue.”