The draft rules of Goa Real Estate (Regulation & Development) Act, (Goa RERA), prepared by the state government seem to be extra loaded with favours for the realtors. The state government has utilized the provision mentioned in the parent Act, which enables it to tweak the rules as per the state land reforms.
Misusing the provision mentioned above, the government of Goa is ready to pamper the realtors in the state.
As per the Goa RERA draft rules , a promoter can bypass the jail term by paying a fine ranging from 5% to 10% of the estimated project cost in case he/she breaches any rules of the RERA. But, as per the Section 64 of the RERA rules notified by the Central Government, if a promoter breaches any rules or orders of the RERA, the same will attract an imprisonment up to 3 years or fine up to 10% of the project cost or both.
The state government also tweaked the provision of the Central RERA rules which defines the penalty for the continuous violation of the orders of the Appellate Tribunal.
As per section 59 (2) of the parent RERA rules, if the promoter continues to violate the orders like advertising or selling the project without registering it with RERA , he shall be imprisoned up to 3 years or fined up to 10% of the project cost or both. But, as per the Goa RERA draft rules the offense can be compounded by paying a fine up to 5% of the project cost.
Providing an escape route to the real estate agents, the Goa RERA draft rules have provisions where the fault of the realty agent will be pardoned if the person pays a fine ranging from 5% to 10% of the estimated property cost. Apparently, section 66 of the Central RERA rules for real estate agents has stringent provision for the same wherein, a real estate agent shall be penalized with a jail term up to one year or a fine if the person fails to comply with the rules and orders of the RERA.
It has to be noted that the Goa has not yet implemented the RERA rules.