The proposed Maharashtra Real Estate Regulatory Authority, which is expected to start operations within a year, will be saddled with 15,905 complaints.
The State Consumer Disputes Redressal Commission recently informed the State government that it would transfer its backlog of complaints relating to flats costing over Rs. 1 crore to the new regulatory authority.
An official of the State Housing Department, said, “We are gearing up to take over these complaints. The Real Estate (Regulation and Development) Act, 2016, stipulates that complaints pending with the district offices of the commission be transferred to the regulator.”
Onus now on promotor
The regulatory authority is expected to streamline Mumbai’s largely unorganised real estate sector that is marred by skyrocketing prices, dwindling finances and lack of buyer interest. It will also put the onus on the promoter for time-bound completion of projects and the seizure of property and assets in case of default.
Of the 15,905 complaints, 9,750 are at the filing stage, 2,780 at the disposal stage, and 3,375 at the appeals stage. Senior officials said there were 5,684 real estate complaints filed in Mumbai, 2,831 in Thane, 2,778 in Nagpur and 1,735 in Pune.
An official said, “Most of the complaints are from buyers who either have not been handed over the flat or have been cheated by the builder and developer.”
After the Centre passed the Housing Regulatory Bill, the State enforced the Maharashtra Housing (Regulation and Development) Act to set up a quasi-judicial regulatory authority with an idea to resolve disputes between developers and the buyers.
While the Central Act lists out the sections and guidelines under the Act, the State rules will regulate registration of promoters and real estate agents.
Under the Act, real estate agents will be fined five per cent of the project cost if found guilty of misguiding flat buyers or providing wrong information.
Clearance awaited
Last week, the State government framed rules to set up the regulatory authority to safeguard the interests of home buyers. The authority has been put together under Section 84 of The Real Estate (Regulation and Development) Act, 2016.
It has 40 by-rules that cover four important aspects: registration of promoters and real estate agents, administrative machinery, authority/tribunals, and penalties and punishment. The clearance for the authority is pending with the Housing Minister.
Last week, the State framed rules to set up the authority to safeguard interests
of home buyers
