The Maharashtra Real Estate Regulatory Authority (MahaRERA) on October 15 said it has recovered ₹369.45 crore in compensation for homebuyers across 273 real estate projects, against which 516 recovery warrants worth ₹1,037 crore were issued to the developers in the last 9 years. Mumbai real estate market accounted for the highest recovery of dues, the authority said.
According to MahaRERA, its compensation recovery rate stands at 45%, which places it first among RERA authorities in India in terms of compensation recovered for homebuyers.
What is a recovery warrant?
MahaRERA issues recovery orders against real estate developers in case of default in handing over possession of property to homebuyers. The execution of recovery warrants must be conducted by the respective district collectors of the area.
"Since MahaRERA’s establishment in May 2017, the regulator has issued recovery orders totalling ₹1,037.86 crore towards compensation for 1,531 complainants. Of this amount, cases involving ₹104.70 crore are pending before the National Company Law Tribunal (NCLT), while cases involving ₹104.46 crore fall under the Maharashtra Protection of Interest of Depositors (in Financial Establishments) Act, 1999 (MPID Act). As a result, recovery proceedings involving approximately ₹209.16 crore are currently restricted," MahaRERA said in a statement.
Mumbai tops in collection
{{/usCountry}}Mumbai tops in collection
{{/usCountry}}According to MahaRERA, out of the total ₹369.45 crore recovered by MahaRERA with the help of various District Collectorates, Mumbai ranks on top with a collection of ₹228 crore.
The data shows that ₹142.31 crore was recovered from the Mumbai Suburban district followed by ₹85.80 crore from the Mumbai City district, ₹68 crore from the Pune district, ₹36 crore from the Thane City district, and ₹12 crore from the Alibaug district.
Apart from these, Nagpur district reported collection of ₹9.65 crore, Palghar has recovered ₹4.90 crore, Nashik ₹4.90 crore, Chhatrapati Sambhaji Nagar ₹3.84 crore, Sindhudurg ₹54 lakh, Solapur ₹12 lakh; and Chandrapur ₹9 lakh, bringing the outstanding compensation amount to zero in these districts, the MahaRERA said in its statement.
Highest dues in Mumbai and Pune
The data shared by MahaRERA reveals that out of the total ₹1,037 crore in recovery warrants issued in Maharashtra, the highest due ₹878 crore is from Mumbai and Pune. In the Mumbai suburban district, the due is ₹415 crore, followed by ₹231 crore in Mumbai city and ₹230 crore in Pune.
According to the data, other districts like Thane, Alibaug, Palghar, and Nagpur had recovered warrants worth over ₹146 crore.