The Maharashtra Real Estate Regulatory Authority (MahaRERA) has imposed a fine of Rs. 10,000 on Lalit Roongta Groups Builders & Developers for violating the Real Estate Regulatory Authority (RERA) guidelines. The case was registered as Suo Motu Advertisement Case No. 11 of 2023 by MahaRERA.
What was the violation?
The violation was related to publishing an advertisement in the Divya Marathi newspaper on 25th February 2023 without mentioning the MahaRERA project registration number for the project "Roongta Preciso Apartment." The project is located in Nashik and has MahaRERA registration no. P51600046804.
What did the Promoter submit?
In response to the show cause notice, Lalit Roongta Groups Builders & Developers submitted a reply dated 16th March 2023, stating that the MahaRERA registration number was mentioned on the right-hand side of the advertisement.
What happened during the hearing?
A hearing was scheduled on 17th April 2023 through video conferencing, as per the MahaRERA Circular No. 27/2020 and MahaRERA Order No. 593/2023. The Promoter appeared through its representative and made its submissions. During the hearing, the Promoter submitted that the MahaRERA registration number was mentioned in the advertisement dated 25th February 2023. The space where the MahaRERA registration number was mentioned was highlighted during the hearing.
What was the observation made by MahaRERA?
It was observed that the MahaRERA registration number mentioned in the advertisement was extremely small in size and not visible to the naked eye.
What does section 11(2) of RERA say?
As per section 11(2) of RERA, the promoter is obligated to mention prominently, the registration number of the project in the advertisements or the prospectus issued by it.
What was the decision made by MahaRERA?
MahaRERA concluded that Lalit Roongta Groups Builders & Developers had violated section 11(2) of RERA by publishing a full-page advertisement in the Divya Marathi newspaper dated 25th February 2023, in an extremely small size that was not visible to the naked eye.
What is the penalty imposed?
MahaRERA imposed a penalty of Rs. 10,000 on Lalit Roongta Groups Builders & Developers for violating section 11(2) of RERA.
What is the timeline for the payment of the penalty?
The Promoter is required to pay the penalty within a period of 15 days from the date of the order. Failing to comply with the timeline, a further penalty of Rs. 1,000 per day would be imposed till compliance.
What is the next step?
The Technical and Finance Department of MahaRERA will verify the payment of the said penalty before processing any applications, such as extension, correction, change of name, etc., with respect to the said project.
The case of Lalit Roongta Groups Builders & Developers serves as a reminder of the importance of complying with RERA regulations when advertising real estate projects. The MahaRERA Authority's imposition of a penalty on the Promoter highlights the seriousness with which RERA violations are viewed and should encourage other developers to ensure that they comply with all relevant regulations.
It is important for the real estate industry to understand that RERA regulations are in place to protect the interests of homebuyers, and non-compliance with these regulations can lead to serious consequences. Developers must ensure that they are transparent in their dealings with customers and abide by all rules and regulations set by the authorities.
Overall, the MahaRERA Authority's decision to impose a penalty on the Promoter for RERA violation demonstrates its commitment to ensuring fair and transparent dealings in the real estate sector. Homebuyers can have confidence in the regulatory framework and the MahaRERA Authority's ability to enforce it, which is essential for promoting trust and accountability in the industry.
Note: The information provided in this article about Maharashtra Real Estate Regulatory Authority (MahaRERA) 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.
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