Initiating penal proceedings against Emaar MGF Land Limited in a case pertaining to delay in construction of shops, the Haryana Real Estate Regulatory Authority has made it clear that mere filing of an application for occupation or completion certificate does not exempt a developer from registration of the project under the RERA Act.
RERA Act
The decision of HARERA, Gurugram, announced on Tuesday on a complaint by Simmi Sikka against Emaar MGF, has neutralised the effect of dilution of RERA on account of Haryana Real Estate (Regulation and Development) Rules.
Effect of dilution
A press statement issued by the District Information and Public Relations Department said the judgment had not only settled confusion about applicability of the RERA Act and registration of the project, but also nullified the effect of dilution of the provisions of the Act by Haryana rules.
“This decision has also settled the controversy regarding ongoing projects. Ongoing projects have now been treated as projects where completion certificate has not been issued prior to commencement of the RERA Act. Mere filing of an application for occupation or completion certificate does not exempt the project from registration. It is only the grant of completion certificate before commencement of the Act that will exempt projects from registration,” said the press statement.
The HARERA, Gurugram, in this judgment has held that projects — whether registered or not registered under the RERA Act — are both covered under its ambit.
New projects
It further decided that all new projects were to be registered with the authority irrespective of the fact whether the builder intended to market the real estate after completion of the project or the during construction phase.
