Rejection of project in RERA

Rejection of project in RERA
  • General
  • Thursday 8th August 2019
  • Author: Shreya Uppal

Highlights

  • Both the developers and the agents need to assure that they follow the rules and the provisions of the act and failing to comply with the provisions can attract penalties and rejection of the project application

  • if any promoter advertises, market, book, sell or offer for sale,without registering the project with the concerned RERA Authority of that state, then in these discrepancies the project application can get rejected prima facie.

  • If the compliance of Section 4(2) of the RERA Act, 2016 has not been done properly, the application for the registration of the project can get canceled.

The RERA Act, 2016 was introduced with the whole-sole intention of cutting malpractices of the developers and to protect the homebuyers with the provisions of the act. However, both the developers and the agents need to assure that they follow the rules and the provisions of the act and failing to comply with the provisions can attract penalties and rejection of the project application.

Also Read: How to save your project from getting rejected from RERA authority?

Circumstances when the application for the registration of the project can get rejected by the RERA Authority:
1. As per Section 3 (1) of the RERA Act, 2016,
if any promoter advertises, market, book, sell or offer for sale, or invite persons to purchase in any manner any plot, apartment or building, as the case maybe, without registering the project with the concerned RERA Authority of that state, then in these discrepancies the project application can get rejected prima facie.
2.
As per Section 4 (2) of the RERA Act, 2016, the promoter has to attach various documents while filing the application of the project with the RERA Authority, some of them are :
(a) an authenticated copy of the approvals and commencement certificate from the competent authority obtained in accordance with the laws as may be applicable for the real estate project mentioned in the application, and where the project is proposed to be developed in phases, an authenticated copy of the approvals and commencement certificate from the competent authority for each of such phases.
(b) proforma of the allotment letter, agreement for sale, and the conveyance deed proposed to be signed with the allottees.
(c) The sanctioned plan, layout plan and specifications of the proposed project or the phase thereof, and the whole project as sanctioned by the competent authority.

If the compliance of Section 4(2) of the RERA Act, 2016 has not been done properly, some of the queries are asked by the officers, consequently the project status reaches various desk and after reaching desk 4, if all the queries have not been cleared then the application for the registration of the project can get canceled.
3. As per Section 5 (1) of the RERA Act, 2016, the authority has been provided with 30 days of time to grant the registration of the project. However, as per Section 5 (2) of the RERA Act, 2016, failing to do so can attract deeming registration of the project and the authority shall within a period of 7 days of the expiry of 30 days period shall provide a registration number and a login id and a password to the promoter for accessing the website of the authority and to create his webpage and to fill the details of the proposed project.

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