The Telangana Real Estate Regulatory Authority (TG RERA) has taken strict action against Sanali Housing Projects Pvt Ltd by imposing a penalty of ₹4,27,013 for promoting and advertising its real estate project Sanali Pinnacle in Hyderabad without obtaining mandatory RERA registration and required approvals from the Greater Hyderabad Municipal Corporation (GHMC).
According to the order issued by TG RERA, the developer was found in violation of Sections 3 and 4 of the Real Estate (Regulation and Development) Act, 2016, which mandate that no promoter shall advertise, market, or sell any real estate project without registering it with the respective Real Estate Regulatory Authority.
-
Sanali Pinnacle, a mixed-use project with both residential and commercial units, located in Shaikpet, Hyderabad, was promoted and advertised across various platforms including Google, real estate websites, and the developer’s official website.
-
The developer failed to obtain necessary permissions from GHMC and did not register the project with TG RERA, despite signing an agreement with landowners in March 2021.
-
Three years after the agreement, the developer had not secured approvals or provided updates to the landowners.
-
TG RERA observed that the project was falsely represented as an ‘ongoing project’ on the developer’s official website, and a board displaying “Sanali Coming Soon…” was installed at the project site.
TG RERA rejected the developer’s argument that merely naming the project does not constitute an advertisement. The authority cited Section 2(b) of the RERA Act, which defines “advertisement” broadly to include any form of public announcement relating to a project—regardless of whether it mentions pricing, area, or location.
TG RERA concluded that the developer violated Section 3(1) by advertising and promoting the project without registration. The order stated:
“The act of publishing the project as an ongoing project on the developer’s website, and describing it as an uber-luxurious apartment complex comprising 40 units, coupled with the on-site board stating ‘Exquisitely crafted residences for exceptional 40,’ constitutes clear promotion without prior registration.”
-
The developer has been directed to register the Sanali Pinnacle project under Section 3 of the RERA Act immediately.
-
Until the project is registered, the developer is barred from advertising, marketing, booking, selling, or inviting buyers for any units in the project.
-
The penalty amount of ₹4,27,013 is imposed under Section 59 of the Act.
This case sets a strong precedent and sends a clear message to all developers in Telangana that any attempt to bypass RERA registration or mislead consumers will attract penalties and restrictions. The RERA Authority has reiterated its commitment to transparency and consumer protection in the real estate sector.