Unveiling the Rajasthan Real Estate Regulatory Authority Case against Viratra Builders

The Rajasthan Real Estate Regulatory Authority, Jaipur, recently handled an important case involving Viratra Builders, a prominent real estate promoter. The case, bearing file number F.3(1049)RJ/RERA/C/2019, revolved around the non-submission of Quarterly Progress Reports (QPRs) on the RERA web portal by the respondent, Viratra Builders. This article provides an in-depth analysis of the case, highlighting the legal aspects, proceedings, and the final order.

Case Background

Under sections 35, 36, 37, and section 38 of the Real Estate (Regulation and Development) Act, 2016 (referred to as 'the Act') and Rule 16(1)(D) of the Rajasthan Real Estate (Regulation and Development) Rules, 2017 (referred to as 'the Rules'), the Rajasthan Real Estate Regulatory Authority issued a show cause notice to Viratra Builders. The notice cited the violation of section 11(1) of the Act read with rule 16(1)(D) of the Rules, which required the submission of QPRs on the RERA web portal to update project details for public viewing.

Furthermore, the notice reminded Viratra Builders of previous orders issued by the Authority, including order No. F.1(167)RJ/RERA/QPR/2020/12, dated 01.01.2021, and subsequent clarifications/amendments. These directives mandated the submission of pending QPRs for all quarters up to the quarter ending on 30.06.2021, latest by 31.07.2021, and subsequent QPRs within 15 days of the end of each quarter.

The Proceedings

Upon reviewing the online project details, the Authority discovered that Viratra Builders had failed to submit the specified QPR(s) within the given timeframe. The show cause notice raised three primary issues for consideration:

1. Imposition of penalties: The notice questioned why a penalty of up to 5 percent of the estimated project cost should not be imposed under section 61 of the Act for the violation of section 11(1) of the Act read with rule 16(1)(D) of the Rules.
2. Per-day penalty: The notice inquired why a per-day penalty should not be imposed under section 63 of the Act for non-compliance with the Authority's previous order dated 01.01.2021 and subsequent clarifications/amendments.
3. Revocation of registration: The notice sought an explanation as to why the registration of the project in question should not be revoked under section 7(1)(a) of the Act due to the alleged default in submitting QPRs as required by the Act, Rules, and the issued directions.

The Hearing and Final Order

During the hearing, Viratra Builders did not present any representation. Advocate Garvit Agarwal, on behalf of the Authority, informed the panel that all eight pending QPRs had been filed by Viratra Builders and uploaded on the web portal of the Authority.

After thorough consideration of the case record, online records, and the submissions made by Advocate Garvit Agarwal, the Authority confirmed that all the pending QPRs had been filed and uploaded on the web portal since the issuance of the notice.

Conclusion

Taking a lenient view of the matter and considering the submissions made on behalf of the Authority, the Rajasthan Real Estate Regulatory Authority discharged the notice and dropped the proceedings against Viratra Builders. The case serves as a reminder to real estate promoters about the importance of complying with the regulatory requirements and submitting necessary documentation in a timely manner.

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(1049)RJ/RERA/C/2019 before the Rajasthan Real Estate Regulatory Authority

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