A Case of Non-Submission of Quarterly Progress Reports : Rajasthan RERA vs. Coral Infra Gold Pvt. Ltd.

In a recent legal battle between the Rajasthan Real Estate Regulatory Authority (RERA) and Coral Infra Gold Pvt. Ltd., the issue of non-submission of Quarterly Progress Reports (QPRs) on the RERA web portal came into focus. This article delves into the details of the case, highlighting the key points, legal provisions, penalties imposed, and the significance of complying with the Real Estate (Regulation and Development) Act, 2016.

Case Details:

Case Number: F.3(657)RJ/RERA/C/2017

Date of Order: 11.01.2023

Authority Member: Shri Shailendra Agarwal

Background:

The Rajasthan Real Estate Regulatory Authority issued a show cause notice to Coral Infra Gold Pvt. Ltd., the respondent promoter, under sections 35, 36, 37, and 38 of the Real Estate (Regulation and Development) Act, 2016 (hereinafter called 'the Act') and Rule 16(1)(D) of the Rajasthan Real Estate (Regulation and Development) Rules, 2017 (hereinafter called 'the Rules'). The notice was served due to the respondent's failure to submit QPRs on the RERA web portal, as required by section 11(1) of the Act and rule 16(1)(D) of the Rules.

Key Provisions:

The show cause notice reminded the respondent of the obligations under section 11(1) of the Act and the corresponding rule 16(1)(D) of the Rules. It also referred to the Authority's previous order and subsequent clarifications/amendments regarding the submission of QPRs.

Violation and Penalties:

Upon reviewing the project details online, the Authority observed that the respondent had not submitted the QPRs within the specified timeframe. This violation constituted non-compliance with section 11(1) of the Act and made the respondent liable for penalties under section 61 of the Act, which allows penalties of up to 5 percent of the estimated project cost. Additionally, the respondent was subject to a per-day penalty under section 63 of the Act for not complying with the Authority's previous order.

Hearing and Decision:

During the hearing, the respondent's representative, Adv Arushi Saraswat, failed to provide sufficient reasons for the non-submission of QPRs. Considering this as the first violation, the Authority decided to impose a penalty of Rs. 5,000/- per QPR under section 61 of the Act. The respondent was directed to submit the pending QPRs within 30 days from the date of the judgment, along with the penalty amount and delay processing charges. Failure to comply may result in increased penalties, daily penalties, or project ouster under section 8 of the Act.

Conclusion:

The Rajasthan Real Estate Regulatory Authority's case against Coral Infra Gold Pvt. Ltd. highlights the importance of complying with the legal provisions set forth by the Real Estate (Regulation and Development) Act, 2016. Non-submission of Quarterly Progress Reports can lead to penalties and potential revocation of project registration. Adhering to the prescribed rules and regulations ensures transparency, accountability, and protection for both developers and homebuyers.

Note: The information provided in this article about Rajasthan Real Estate Regulatory Authority (RRERA) is for informational purposes only. It is not intended as legal or professional advice and readers should consult qualified professionals for advice specific to their circumstances. The information provided in this article is based on the File No. F.3(657)RJ/RERA/C/2017 before the Rajasthan Real Estate Regulatory Authority

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