Karnataka RERA Orders Owners' Association to Complete Delayed Project
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In response to criticism from the Karnataka High Court regarding the non-functional status of the Karnataka Real Estate Regulatory Authority (KRERA) Appellate Tribunal, the state government has assured that Chief Minister Siddaramaiah will be appointing the chairman soon. This development comes after the court raised concerns about the vacancies in the tribunal, leading to delays in resolving cases related to real estate disputes.

Tribunal Chairman Appointment Pending

The state government, facing scrutiny from the Karnataka High Court, has informed the court that the appointment of the KRERA Appellate Tribunal chairman is imminent, pending the chief minister’s signature. Advocate Chaitanya SG, representing the state, stated that the order for the appointment is expected to be passed by the next hearing scheduled for April 23.

Criticism from the High Court

The Karnataka High Court expressed dissatisfaction with the state government for failing to fill vacancies in the KRERA tribunal since June 2023, resulting in its non-functionality. The court noted that the absence of a chairman has led to a backlog of cases, hindering the resolution of disputes between buyers and developers in the real estate sector.

Case Background

The court’s intervention stemmed from a petition filed by Mathew Thomas, a buyer of a flat in the Sobha City project in north Bengaluru, developed by Sobha Limited. Thomas lodged a complaint with KRERA regarding a delay in possession and lack of compensation from the developer. Although KRERA ruled in favor of the buyer, Sobha filed an appeal with the tribunal. However, due to the absence of a chairman and the requisite quorum, the case remained unresolved for five years.

High Court’s Stand

The Karnataka High Court emphasized the urgency of appointing a chairman to ensure the functionality of the tribunal and timely resolution of pending cases. The court dismissed the argument that the announcement of general elections had delayed the appointment process, emphasizing the importance of addressing vacancies in regulatory bodies like KRERA.

Conclusion

The Karnataka High Court’s intervention underscores the significance of a functional regulatory framework in the real estate sector. The impending appointment of the KRERA Appellate Tribunal chairman is expected to streamline dispute resolution processes and provide timely justice to aggrieved parties in real estate transactions.

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