Rajasthan Real Estate Regulatory Authority vs. DLB Govindam Affordable Housing: Case Analysis

In a recent case before the Rajasthan Real Estate Regulatory Authority (RERA), a show cause notice was issued to DLB Govindam Affordable Housing, a promoter, for non-compliance with the provisions of the Real Estate (Regulation and Development) Act, 2016. The case, filed under file number F.3(1784)RJ/RERA/C/2021, involved the non-submission of Quarterly Progress Reports (QPRs) on the RERA web portal. This article provides an in-depth analysis of the case, the legal provisions involved, and the final order issued by the Authority.

Background

The case arose from the non-compliance of DLB Govindam Affordable Housing with the requirement to submit QPRs on the RERA web portal. According to section 11(1) of the Real Estate (Regulation and Development) Act, 2016, and rule 16(1)(D) of the Rajasthan Real Estate (Regulation and Development) Rules, 2017, the promoter was obligated to upload QPRs on the web portal to ensure transparency and provide updated project details to the public.

DLB Govindam Affordable Housing was issued a show cause notice under sections 35, 36, 37, and section 38 read with section 7, 11(1), 61, and section 63 of the Act, as well as Rule 16(1)(D) of the Rules. The notice called upon the promoter to explain the reason for non-submission of QPRs and addressed the potential penalties, including a fine of up to 5 percent of the estimated project cost and the revocation of registration.

The Proceedings

The case was brought before the Rajasthan Real Estate Regulatory Authority, with Shri Shailendra Agarwal presiding as the Honorable Member. The Authority examined the online project records and the arguments presented by DLB Govindam Affordable Housing, represented by CA Devesh Gupta.

During the hearing, CA Devesh Gupta informed the Court that the penalty imposed by the Authority for the non-filing of 13 QPRs had been paid. Additionally, all the pending QPRs had been filed and uploaded on the web portal of the Authority. The respondent requested the proceedings to be dropped based on these compliance efforts.

The Decision

After careful consideration of the case records, online project details, and arguments put forth by DLB Govindam Affordable Housing, the Authority reached a decision. It was confirmed that the penalty had been paid, and all the pending QPRs had been submitted. Consequently, the respondent had complied with all the legal provisions by fulfilling the QPR requirements and paying the imposed penalty.

The Rajasthan Real Estate Regulatory Authority, therefore, justified the respondent's request for dropping the proceedings. The notice issued by the Authority was discharged, and the proceedings were dropped.

Conclusion

The Rajasthan Real Estate Regulatory Authority's case against DLB Govindam Affordable Housing sheds light on the significance of compliance with the Real Estate (Regulation and Development) Act, 2016. The case highlighted the obligation of promoters to submit Quarterly Progress Reports (QPRs) on the RERA web portal, ensuring transparency and accountability in the real estate sector.

By issuing the show cause notice, the Authority demonstrated its commitment to enforcing the Act's provisions and holding promoters accountable for their responsibilities. The final decision to drop the proceedings against DLB Govindam Affordable Housing highlighted the importance of compliance efforts and the willingness of the Authority to acknowledge rectification.

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(1784)RJ/RERA/C/2021 before the Rajasthan Real Estate Regulatory Authority

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