The Haryana Real Estate Regulatory Authority has issued show cause notice to 10 developers in the state as they advertised their projects without registering with the authority.
The notice came when the Central government issued an ultimatum for all states to notify the Real Estate (Regulation & development) Act (RERA) by 31st July 2017.
As per the sources, the officials of the interim Haryana RERA stated that the developers are not allowed to advertise or sell their projects if it comes under the provisions of the RERA. In this case, the developers have advertised their projects without registration.
Dibag Singh, the chief town planner and a member of the interim Haryana RERA said that the authority had issued the notices under section 3 of the RERA. The developers have to pay 10% of the project’s cost as a penalty for violating the rules if they fail to justify the cause within 15 days.
This move by the Haryana RERA has created a chaos amongst the developers. Recently, FICCI organised a seminar on the RERA in Delhi, in which officials like the chairman of Madhya Pradesh RERA Anthony de Sa and Dibang Singh himself has informed that the developers can market their on-going projects till 31st July without registering with the RERA. This statement contradicts with the letter sent to NAREDCO by the Ministry of housing and urban poverty alleviation which clarifies the confusion over the marketing of projects which comes under the preview of the RERA.
As of now, the Haryana government has not notified the Real Estate (Regulation and development) Act but has mandated the registration of on-going projects under the draft rules for RERA in the state.
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