Rajasthan RERA Initiates Auction Process in Non-Compliance Case against Suparas Homz Pvt. Ltd.

In a significant development, the Rajasthan Real Estate Regulatory Authority (Rajasthan RERA), Jaipur, has taken strict action against a prominent real estate developer, Suparas Homz Pvt. Ltd., for non-compliance with an order issued by the Authority. The case, registered under Complaint Nos. RAJ-RERA-C-2019-3041 and RAJ-RERA-C-2019-3299, involves Raja K.S. Tanwar and Vandana Tanwar as complainants, respectively. Despite a considerable time frame of over 16 months since the order was passed, the respondent, Suparas Homz Pvt. Ltd., failed to fulfill its obligations. Consequently, the Rajasthan RERA has invoked Section 40 of the Real Estate (Regulation and Development) Act, 2016, and ordered the attachment and auction of properties owned by the developer to recover the ordered amount.

Case Background:

The Rajasthan RERA had previously issued an order on 10.08.2021, directing Suparas Homz Pvt. Ltd. to refund the entire amount paid by the complainants, Raja K.S. Tanwar and Vandana Tanwar, along with interest at the State Bank of India's Highest Marginal Cost of Lending Rate (MCLR) plus 2%. The refund was to be made within forty-five days from the promised date of completion, i.e., 29.12.2014. The respondent was also required to submit a compliance report to the Authority within fifteen days following the refund.

Non-Compliance and Complaints:

Despite being served with notice, Suparas Homz Pvt. Ltd. failed to comply with the order of the Rajasthan RERA. Raja K.S. Tanwar and Vandana Tanwar, the complainants, argued that the respondent intentionally and willfully disregarded the order. They expressed their concerns over the prolonged delay in refunding their money and sought appropriate action under Section 40(1) of the Real Estate (Regulation and Development) Act, 2016.

Rajasthan RERA's Action:

After thoroughly examining the case records, the Rajasthan RERA concluded that the respondent had completely failed to comply with the order dated 10.08.2021. Moreover, the respondent's disregard for the order persisted for over 16 months. In light of these circumstances, the Authority decided to initiate proceedings under Section 40 of the Act, as mentioned in the original order.

Attachment and Auction of Properties:

Exercising its powers conferred by Section 40 of the Real Estate (Regulation and Development) Act, 2016, the Rajasthan RERA directed the Registrar of the Authority to attach the unsold part of the project in question, along with other properties owned by Suparas Homz Pvt. Ltd. The details of these properties, including the bank account of the respondent, are available on the case file. The attached flats and properties will be auctioned to recover the amount ordered to be paid to the complainants. Any surplus amount remaining after the recovery will be returned to the respondent.

Continuation of Attachment and Auction Process:

The attached flats will remain under attachment until the auction process is completed and the ordered amount is paid in full to the complainants. Upon complete compliance with the order, the remaining attached units can be released to the respondent for their use. However, it is crucial to note that if the respondent provides proof of having paid the ordered amount to the complainants in full at any time before the conclusion of the attachment/auction process, the attachment and auction procedures will be terminated.

Conclusion:

The Rajasthan Real Estate Regulatory Authority has taken a firm stance against non-compliance by initiating proceedings under Section 40 of the Real Estate (Regulation and Development) Act, 2016, against Suparas Homz Pvt. Ltd. The Authority has ordered the attachment and auction of properties owned by the developer to recover the ordered amount, which includes refunds to be made to the complainants. This action underscores the commitment of Rajasthan RERA to ensure compliance and protect the rights of 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 Complaint No. RAJ-RERA-C-2019-3041 and (1)Complaint No. RAJ-RERA-C-2019-3299 before the Rajasthan Real Estate Regulatory Authority

We hope you found our blog insightful and engaging! We appreciate your time and interest. If you enjoyed reading it, don't forget to subscribe to our newsletter to receive regular updates on our latest content. Visit our website www.reunionhq.in to know more.