MahaRERA declines home buyers plea to construct pending houses

When a group of home buyers approached Maharashtra Real Estate Regulatory Authority, asking it, to be allowed to construct, complete and occupy the apartments as the builder is neither proceeding with the work of construction nor handing over possessions, their plea was dismissed. The reason; the section under which the complainants wanted the transfer to be done from builder to them only provided for the obligation of the developer in case of transfer of a project to third party. Housing experts say that complainants should have raised section 7, and proved unfair practices by developer and then asked for a transfer. Also the complainants had approached Civil Court against the developer for delay.

A group of home buyers under Royal Accord Welfare Association, who had purchased apartments in the project Royal Accord, Borivali, approached MahaRERA against the developer Anuradha Real Estate Developers Pvt Ltd. They alleged that the developer is neither proceeding with the work nor handing over the apartments in spite of continuous follow up. Therefore they prayed that apartment purchasers may be allowed to construct and complete the construction and occupy their apartments.

On the first day of hearing, the Counsel for the developer submitted that, the complainant has take up the same matter of delay in completion of the project, against the developer before another forum (City Civil Court). Therefore, the counsel prayed that the present complaint be dismissed as it is not maintainable.

In the next date of hearing, the counsel for the complaint submitted that the complainant has approached the civil court against the developer for violation of provisions of MOFA. The counsel further added, that the relief sought before MahaRERA is that they be allowed to take over the project under the provisions of section 15 of the RERA act, 2016 because of lack of progress and delay.

The Chairman of MahaRERA, Gautam Chaterjee, explained to the complainants that section 15 of the act, only provides for the obligation of the developer in case of transfer of a real estate project to a third party.

Ramesh Prabhu, Chairman, Maharashtra Societies Welfare Association, said, "The complainants instead of section 15, should have approached the authority under section 7, and proved that the developer is involved in unfair practices then the authority might have maintained the case. Section 15 is about transferring it to the third party not to allottees."

It was also explained that after the inception of the RERA Act 2016, the said on-going project has been registered under the provisions of the act and therefore it is premature to revoke the registration and hand over the project to the association of allottees right away. Moreover, the association has already approached the Civil Court against the project.

In view of the above, the complaint is dismissed as non-maintainable.

KEY DETAILS

• A group of home buyers approached MahaRERA, asking it, to be allowed to construct, complete and occupy the apartments as the builder is neither proceeding with the work of construction nor handing over possessions
   
• It is builder’s obligation to transfer possession only if a 3rd party is present; thus plea was dismissed