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    MahaRERA move draws ire of homebuyers’ lobby

    Synopsis

    MahaRERA has decided to register realty developers and project promoters as self-regulatory organisations with the authority, and granted its first certification to the National Real Estate Development Council.

    ET Bureau
    MUMBAI: A homebuyers’ lobby group has objected to the Maharashtra Real Estate Authority’s (MahaRERA’s) decision to register realty developers and project promoters as self-regulatory organisations (SROs) with the authority, calling the move “arbitrary” and “legally untenable”.

    In a letter to MahaRERA, the Forum for People’s Collective Efforts (FPCE) said the Real Estate (Regulation and Development) Act, 2016, (RERA) does not provide any provision to set up or register SROs of real estate developers. ET has seen a copy of the letter sent last week.

    Earlier this month, MahaRERA created a mechanism to register SROs and granted its first certification to the National Real Estate Development Council (Naredco), a developers’ body, as an SRO for promoters whose projects are registered with the state authority.

    SRO is expected to encourage its members to comply with the provisions of the RERA Act, rules, orders and circulars issued by MahaRERA. It will be responsible for carrying out awareness and education activities among its members.

    “What is the basis for MahaRERA to assume that even if promoters are told by SROs, they will abide by their directions? Does MahaRERA consider SROs to be more effective and powerful than itself that it believes that promoters will listen to SROs, but not to MahaRERA?” the FPCE letter said.

    While announcing the decision to register realty developers and project promoters as SROs, the regulator had said the SROs will help ensure greater professionalism among developer, bring consistency in their practices, help in enforcement of code of conduct and discourage fraud.

    “The builder-bureaucratic-political nexus has been responsible for virtually crippled justice delivery for troubled homebuyers,” said FPCE president Abhay Upadhyay, adding that if builder bodies are given registration by MahaRERA, it will create havoc.
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    6 Comments on this Story

    Yashavant Ganpat Mar393 days ago
    MAHARERA is is use less to give justice to exploited homebuyers.It can not force developers for registration and renewal of permission obtained for construction.As a result homebuyers can not lodge complain with maharera for justice even after paying full amount and registering agreement with registrar.Then who will give justice.MAHARERA is only showpiece.
    Ramesh Shah393 days ago
    THE FORMATION OF RERA WAS A BLUNDERS..... MAJORITY OF THE FUNDS BY THE POLITICIANS N THEIR INFLUENCED PSUBANKS....,
    NOW THEY FEEL THE PINCH N WANT TO CHANGE THE LAWS TO SUIT THEM......
    IN ANY CASE THE BUILDER LOBBY IS GOING TO GET WIPED OUT..... THEY HAVE TAKEN EQUAL AMOUNTS OF MONEY FROM PRIVATE LENDERS......THE OCCUPANCY RATE OF THE FINISHED PROJECTS IS HARDLY 2 PC..,...
    mohanqp Thomas393 days ago
    is there any provision to compensate the buyers immediately, if they are cheated by these registered bodies?
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