It will now be difficult for promoters and builders to delay projects, with Parliament today giving nod to a Bill which gives relief to home-buyers and proposes imprisonment of up to three years besides monetary penalties for any violation of rules.
The Real Estate (Regulation and Development) Bill, 2013, approved by the Lok Sabha today, >five days after its passage by Rajya Sabha , is designed to protect consumer interest, ensure efficiency in all property-related transactions, improve accountability of developers, boost transparency and attract more investments to the sector, the government said.
It provides for setting up of a Real Estate Regulatory Authorities (RERAs) which will ensure timely execution of projects. The RERAs will regulate transactions related to both residential and commercial projects and ensure their timely completion and handover.
The proposed law makes it mandatory for all residential and commercial projects to register with the Regulator and will apply to new and ongoing projects.
Appellate Tribunals will now be required to adjudicate cases in 60 days as against the earlier provision of 90 days and Regulatory Authorities will have to dispose of complaints in 60 days. In the earlier Bill, no time frame was indicated.
The Bill provides for imprisonment of up to three years in case of promoters and up to one year in case of real estate agents and buyers for any violation of orders of Appellate Tribunals or monetary penalties or both.
