TS RERA alerts builders to protect interests of property buyers

With an aim of ensuring transparency, efficiency and consumer protection in the real estate sector, the State government has recently appointed the first regular whole-time Chairman of the Telangana State Real Estate Regulatory Authority (TS RERA) after five years of its formation. In an exclusive interview with Bizz Buzz, TS RERA Chairman N Satyanarayana speaks about creating awareness among the people.

Satyanarayana has over 25 years of experience in the Municipal Administration and Urban Development department and has handled various responsibilities, including urban & infrastructure development, municipal finance, town planning, administrative reforms, sanitation, poverty alleviation and housing. Within a few days of joining as the TS RERA chief, he disposed of almost all the pending complaints

Till date, how many complaints are received by the TS RERA from the home buyers or investors? How many complaints are against real estate agents, residential builders and commercial developers? How many complaints are from Hyderabad and how many are from other cities of Telangana?

More than 400 complaints were received from the home buyers/ investors on various grounds against real estate agents, residential builders and commercial developers from Hyderabad and also other cities of Telangana. These complaints were segregated and notices have also been issued to the concerned promoters/builders.

Hearings pertaining to about 20-25 complaints are currently underway to redress these matters effectively.

How many complaints are disposed of by the TS RERA so far and how many are pending? Most of the complaints are about which aspects?

Almost 95 per cent of the complaints received from the buyers and investors on different reasons are completely disposed of by the TS RERA. It is an ongoing process to receive complaints on various issues and to dispose of duly implementing the RERA act against erring builders/promoters, with required hearings and judicious examination as mandated by provisions of Real Estate (Regulation and Development) Act.

How big is the TS RERA team? How many people were hired recently?

The TS RERA team consists of a Chairman along with one adjudicating officer, two official members and other members in administration, technical and finance wings. The TS RERA is also functioning with a recovery team with a Revenue Divisional Officer (RDO) / Tahasildar to act in accordance with the Revenue Recovery Act, and working with other clerical staff.

Are there any penalties levied on the builders till now? Will the TS RERA impose penalties on erring builders even if their project is not registered under it?

If a promoter has not registered their real estate venture with the TS RERA, the authority shall impose a penalty extending up to 10 per cent of the estimated project cost as determined by the authority.

Would you take action against the builders or developers for misleading advertisements?

As per the RERA Act under section 3(1), no promoter shall advertise, market book, sell or offer for sale or invite persons to purchase in any manner any plot, apartment or building without registering the project in the RERA. The developers who mislead with advertisements, show cause notice will be issued to submit explanations and also to impose penalty under section 59 of RERA for violating selection 3(1).

In all the advertisements, the RERA registration number must be published along with permission/ approval details of UDAs/ DTCP/ Municipal Corporations/ Municipalities/ Nagar Panchayats/ Gram Panchayats/ TSIIC. For violating this, under section 11(2) of RERA act, a show cause notice will be issued and levy of penalty imposed against the promoter.

No promoter shall advertise, market, book, sell or offer for sale, or invite persons to purchase in any manner - prelaunch/ UDS (undivided share) sales of any plot, apartment or building, as the case may be, in any real estate project or part of it, in any planning area, without registering the real estate project with the RERA and if any promoter contravenes the provisions of section 3, he shall be liable to a penalty.

The penalty may extend up to 10 per cent of the estimated cost of the real estate project as determined by the RERA. Advertisement means any document issued through any medium it includes any notice, circular or other shape of documents for publicity purpose duly informing persons about the projects or offering sale of a plot, flat, building or apartment inviting people to purchase or to pay advance deposits.

Could you throw some light on the awareness required among home buyers while purchasing property?

To create awareness among the property buyers, we are appealing them not to get cheated by investing in the projects that are not approved by the TS RERA. We are taking full measures to put the real estate sector in the groove. We are taking strict action against those who release pre-launch advertisements and also publishing advertisements without the RERA registration number.

We want to bring awareness among the property buyers so that they should not be deceived while buying unauthorised plots/ flats if they are coming at unbelievably low prices. We are planning a mechanism for this. We are planning to give SMS alerts to the builders, and we are also using print and electronic media services to create awareness among the buyers.