By Accommodation Times News Services
Maharashtra Chief Minister Devendra Fadnavis informed that the Housing Regulatory Authority would be established within a month. The housing regulator will be a quasi-judicial body and delegated with the powers to safeguard the interests of home buyers and resolve disputes relating to the housing sector.
Though the Maharashtra Housing (Regulation & Development) Act, 2012, was passed two years ago and the Presidential assent came in 2014. But, as the Centre’s real estate Bill is still pending in the Rajya Sabha, the state is unable to set up it’s Authority.
The state government asserted to Central government that Mumbai’s housing needs are different from the rest of the country and the Authority be set up on a priority basis. The government also successfully argued that the state’s provisions were better than the proposed central law. The Centre has accepted the state’s submission and given its nod for the establishment of the Authority.
As per the state Act, realty developers could face disqualification and cancellation of registrations of their projects if a court declares their documents (contractual agreement, power of attorney etc) that give them the right to a land parcel or development rights, as invalid. The Authority will have the powers to scrap such projects.
Before cancellation of registration, the regulator will issue notice to the promoter, who should respond within seven days. This apart, the Housing Regulatory Authority can impose a fine of up to Rs 1 crore and prison terms up to three years.
It will be mandatory for developers to disclose the property title, layout and completion plans to buyers. The project details will have to be registered with the Authority and will be displayed on its website.
Moreover, the regulator will list approved projects, cancelled ones and de-registered promoters. Buyers of a stalled project can form a legal entity and assume control of the construction process. The promoters will have to apply to the regulator for the registration of every project to be constructed on a separate plot.