Applicable to(Mandatory):
Every builder whose project is
under construction or had completed the project and had not received occupation
certificate OC then it is mandatory for the builder to register the project
with local RERA or else he is not allowed to promote his project in whatsoever
manner and there is a heavy penalty to 10 % of the project cost.
Exemption:
Ongoing projects will be exempt
in general if they satisfy the below requirements:
(a) Area of land proposed to be
developed does not exceed 500 sq m or number of apartments proposed to be
developed does not exceed eight, inclusive of all phases - while the central
government provides for these minimum area requirements the local governments
can change the area requirements to conform to the Act, if required such
minimum area threshold can be revised even lower. You should check the
respective state RERA Authority norms to see what is the exact threshold
applicable.
(b) Where promoter has received
completion certificate for Real Estate Project prior to commencement of Act
(May 1st).
(c) For purpose of renovation or
repair or re-development which does not involve marketing, advertising, selling
or new allotment of any apartment, plot or building, under real estate project
A. Offence-wise Penalties for
Promoters
|
Section
|
Offence
|
Penalties
|
|
Section
59
|
Non-registration
of a project
|
10% of
estimated cost of real estate project
|
|
Section
59
|
Not
obeying orders or directions in connection with the above offence
|
Imprisonment
up to 3 years with an or without fine being 10% of the estimated cost of real
estate project
|
|
Section
60
|
Providing
false information etc. and other conventions
|
5% of
the estimated cost of real estate project
|
|
Section
61
|
Contravention
of any order of the RERA
|
Penalty
for every day of defaults which may cumulatively extend up to 5% of the
estimated cost of real estate project
|
|
Section
64
|
Contravention
of the orders or direction of the appellate tribunal
|
Imprisonment
up to 3 years with or without fine which may cumulatively up to 5% of
estimated cost of real estate project.
|
B. Offence-wise Penalties for Real Estate Agents
|
Section
|
Offence
|
Penalties
|
|
Section
62
|
Contravention
of the applicable provisions of the Act
|
Rs.
10,000 per day of defaults which may extend up to 5% of the cost of the
property
|
|
Section
65
|
Contravention
of the orders or direction of the RERA
|
Penalty
on a daily basis which may cumulatively extend up to 5% of the estimated cost
of the property whose sale or purchase was facilitated
|
|
Section
66
|
Contravention
of the orders or direction of appellate tribunal
|
Imprisonment
up to 1 year with without fine which may extend up to 10% of estimated cost
of project
|
C. Offence-wise Penalties for Allottees
|
Section
|
Offence
|
Penalties
|
|
Section
67
|
Contravention
of any order of the RERA
|
Penalty
for the period during which defaults continues which may cumulatively extend
up to 5% of the apartment or building cost
|
|
Section
68
|
Contravention
of the orders or direction of appellate tribunal
|
Imprisonment
up to 1 year with or without fine for every day during which such defaults
continues, which may cumulatively extend up to 5% of the apartments or be
building cost
|
