By Staff Reporter
The Maharashtra Real Estate Regulatory Authority (MahaRERA) has taken a stringent step by suspending the registration of 388 real estate projects due to non-compliance with mandatory reporting requirements. Under the Real Estate (Regulation and Development) Act, developers are obligated to regularly update quarterly progress reports for their projects, including details on bookings, project status, building plan changes, approvals, and financial transactions related to the project.
MahaRERA had initially issued a 15-day notice to promoters of 743 out of 746 projects registered in January, as they had failed to provide the necessary progress reports three months after registration. Out of these, only three projects had complied with the reporting requirements. Subsequently, in July, MahaRERA issued showcause notices to these non-compliant promoters with a 45-day deadline. While promoters of 355 projects responded to the notices, those of 388 projects did not.
As a result of their continued non-compliance, MahaRERA has suspended the registration of these 388 projects. This suspension entails freezing the bank accounts associated with these projects, and promoters are now prohibited from selling, advertising, or marketing units within these developments.
The joint registrars responsible for registering sale agreements or sale deeds have been instructed not to process any such agreements for units in these projects. Promoters who wish to restore the registration of their projects must comply with the provisions of the Real Estate Act and pay a penalty of Rs 50,000.
MahaRERA has already informed promoters of 100 projects about the suspension of their registrations, and the remaining promoters will receive similar notifications in the coming days. This action underscores MahaRERA’s commitment to enforcing transparency and accountability in the real estate sector and ensuring that developers fulfill their regulatory obligations.