Punjab Rera issues notices to 50 builders for not registering projects
Deadline for registration expired last year; more notices in process of being issued as no promoter can advertise, market, book, sell or offer plots, apartments etc without complying with the lawUpdated: Feb 03, 2018 10:21 IST
The Punjab Real Estate Regulatory Authority (P-Rera) has started issuing notices to around 50 builders of ongoing projects who have not registered these with it, a mandatory stipulation. The time window for registration expired last year.
The notices, issued under Section 59 of the Rera Act, asks builders that why action should not be taken action them for violating the provisions of Section 3 of the Real Estate (Regulation and Development) Act 2016 (Rera Act).
Section 3 states that no promoter can 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 it with the state Rera. This section covers both new and ongoing projects.
Earlier, the P-Rera had sought information from urban development authorities like the GMADA (Greater Mohali Area Development Authority) regarding the number of projects they had licensed. It had also asked how many projects had been registered.
Thereafter, the authority filtered out builders of the incomplete projects who hadn’t applied for the registration.
450 projects under urban development authorities yet to register
The authority discovered that there are around 450 projects under these urban development authorities that have not registered with it (the authority).
Of 93 projects licensed under PAPRA (Punjab Apartment and Property Regulation Act, 1995) by the ADA (Amritsar Development Authority), 92 have not registered under the Rera Act. Four projects under the PDA (Patiala Development Authority) have not registered. Under the JDA (Jalandhar Development Authority), of 80 licensed projects, only six are registered with P-Rera. More than 300 projects in the state have registered with P-Rera.
A P-Rera official, who didn’t want to be named, said, “More notices are in the process of being issued to promoters who have not registered projects with the Rera.”
Defaulting promoters could be fined 10% of project cost; even jailed
Section 59 of the Rera Act lays down the punishment, if a promoter contravenes the provisions of Section 3. If proven, a promoter can face a penalty which may extend up to 10% of the estimated cost of the real estate project as the authority determines. Repeated violations are punishable with imprisonment up to three years or with fine which may extend up to a further 10% of the estimated cost of the real estate project, or with both.
First Published: Feb 03, 2018 10:21 IST