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RERA Orders ₹42.2 Lakh Refund for Unregistered Project Sales
20 Aug
Summary
- Real estate firm ordered to refund ₹42.2 lakh with interest.
- Buyers paid ₹52.2 lakh for plots in an unregistered project.
- Authority found multiple violations of the RERA Act.
The Telangana Real Estate Regulatory Authority (TG RERA) has mandated a real estate consultancy firm to reimburse ₹42.2 lakh with 10.7% annual interest to two purchasers. This decision follows the firm's unauthorized marketing and collection of funds for plots within an unregistered development.
The authority determined that both the developer and landowner contravened the Real Estate (Regulation and Development) Act by permitting sales activities for the 'Sree Rugveda Brundavanam Hills' project before its official registration. The consultancy firm, identified as a registered RERA agent, was held accountable for violating its professional duties by engaging in such unregistered sales.
Buyers V Praveen Krishna and V Manjula Praveen Krishna initially paid ₹52.2 lakh for two plots in May 2022. Despite a partial refund of ₹10 lakh, the remaining amount was not returned, with cheques for ₹42.2 lakh being dishonoured. TG RERA has ordered the firm to complete the refund within 60 days, and penalty proceedings are being initiated against the developer and the consultancy firm.
