Developer’s property to be attached in UP case of delay in delivery of flats

GREATER NOIDA: The Uttar Pradesh Real Estate Regulatory Authority (UP-RERA) will attach the property of a developer and appoint a receiver to complete registration of units in cases where promoters are delaying handing over flats to homebuyers. The authority will further impose a higher penalty if its orders are not complied with.

This course of action has been decided according to legal provisions given under Section-40(2) of the RERA Act, 2016 and Rule-24 of the UP.

“To implement orders of possession and registry, we will move to get the property in question attached and appoint a receiver to execute the registry and give possession to homebuyers. Adjudicating officers working in the NCR and Lucknow offices, who have held offices as former district judges, will be referred to and authorized for the above course of action,” said Rajive Kumar, chairman, UP-RERA.

Officials said that the move will put additional pressure on developers who are delaying the registry and not handing over flats to buyers, even after the building is ready. “We will act in cases where the promoter has completed construction and is delaying the process of possession and registry to transfer property title. The appointed receiver will pave the legal way to hand over flats and execute registries in projects which are complete,” Kumar added.

There are at least 2586 applications filed by homebuyers pertaining to non-compliance of UP-RERA orders, officials informed. The authority will take only 15 days to start the process and settle an issue pertaining to non-compliance after issuing notices to the developer and complainant.

“This is a welcome step if it works out well. There are thousands of cases where UP-RERA orders have not been implemented, and buyers have failed to get justice,” said Ashish Mohan Gupta, homebuyer.

The UP-RERA is an expert government body on realty, formed in 2016. It has quasi-judicial powers to effectively implement its orders, granted under order 21 of the Civil Procedure Code.