Triveda Infracrop Pvt. Ltd. Faces Penalties for Non-Compliance with Real Estate Regulations

In the realm of real estate, regulatory authorities play a crucial role in ensuring transparency, accountability, and adherence to established laws. A recent case before the Rajasthan Real Estate Regulatory Authority sheds light on the consequences of non-compliance with regulatory requirements. Triveda Infracrop Pvt. Ltd., the respondent promoter, faced penalties and potential revocation of registration due to the non-submission of Quarterly Progress Reports (QPRs) on the RERA web portal. This article provides an in-depth analysis of the case and its implications.

Case Details: Case No.: F.3(1334)RJ/RERA/C/2020

Authority: Rajasthan Real Estate Regulatory Authority, Jaipur

Member: Shri Shailendra Agarwal

Background:

Under the Real Estate (Regulation and Development) Act, 2016 (hereinafter referred to as "the Act"), and the Rajasthan Real Estate (Regulation and Development) Rules, 2017 (hereinafter referred to as "the Rules"), Triveda Infracrop Pvt. Ltd. was obligated to submit QPRs on the RERA web portal. The respondent's failure to comply prompted the issuance of a show cause notice, citing violations of various sections of the Act and the Rules.

Notice and Obligations:

The show cause notice highlighted the respondent's duty to upload QPRs, as per Section 11(1) of the Act and Rule 16(1)(D) of the Rules. It also referenced previous orders issued by the Authority, directing the submission of pending QPRs. These orders were issued on 01.01.2021 and were subsequently clarified and amended on several occasions.

Failure to Comply:

Upon reviewing the online project details, the Authority noted that the respondent had failed to submit the QPRs within the specified timeframe. The show cause notice called upon the respondent to provide justifications for their non-compliance and addressed the potential penalties and revocation of registration that could result from such violations.

Hearing and Absence of the Respondent:

During the hearing, the respondent, Triveda Infracrop Pvt. Ltd., did not appear before the Authority, despite being served with summons. This willful absence was construed as an admission of guilt or an inability to provide a defense.

Penalties and Directions:

Given the respondent's non-appearance and non-submission of QPRs, the Authority deemed it necessary to impose penalties. As per Section 61 of the Act, a penalty of up to 5 percent of the estimated project cost, determined by the Authority, can be imposed for non-compliance with Section 11(1) of the Act and Rule 16(1)(D) of the Rules. Additionally, Section 63 of the Act permits the imposition of per-day penalties for non-compliance with previous orders.

Imposed Penalty and Directions:

Since this was the respondent's first violation, the Authority took a lenient approach. A penalty of Rs. 5,000/- per QPR was imposed, totaling the pending three QPRs. 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 could result in increased penalties, per-day penalties, or even ouster of the project under Section 8 of the Act.

Conclusion:

The case of Triveda Infracrop Pvt. Ltd. before the Rajasthan Real Estate Regulatory Authority highlights the importance of compliance with real estate regulations. Non-compliance with reporting requirements, such as the submission of QPRs, can lead to severe penalties and even the revocation of project registration. Regulatory authorities play a vital role in maintaining transparency and protecting the interests of homebuyers and investors. Promoters and developers must recognize their obligations under the law and fulfill them diligently to avoid legal repercussions.

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(1334)RJ/RERA/C/2020 before the Rajasthan Real Estate Regulatory Authority

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