One project cannot have two project registration numbers: MahaRERA

MahaRERA issued show-cause notices to Skystar Buildcon on December 23, 2022, February 6, 2023.

August 7, 2023: Each real estate project can have only one MahaRERA project registration number, mentions an order issued by MahaRERA on July 26, 2023. This is according to section 5(f) (a) of the Real Estate (Regulation and Development) Act (Rera), 2016 that highlights:

On receipt of the application under sub-section (1) of section 4, the authority shall within a period of thirty days grant registration subject to the provisions of this Act and the rules and regulations made there under and provide a registration number, including a Login Id and password to the applicant for accessing the website of the Authority and to create his web page and to fill therein the details of the proposed project,

The point here is the suo-motu case where MahaRERA had initiated a proceeding against Skystar Buildcon, the promoter of Sunteck City Avenue 1 and Sunteck City Avenue 1- Phase 2. Show-cause notices were issued on December 23, 2022 and February 6, 2023 calling for explanation for dual MahaRERA project registration by the promoter for the same real estate project.

A bench including Aioy Mehta, chairperson, MahaRERA and Mahesh Pathak, member-l, MahaRERA heard the final hearing.

MahaRERA: The case in detail

The promoter had registered the project-1 Sunteck City Avenue 1 under section 5 of the Rera Act bearing MahaRERA project registration number P51800001281. It was issued a MahaRERA registration certificate on July 27, 2017 by showing total three buildings – Wings A , B and C with certain floors as mentioned in the project details on the MahaRERA website with the proposed date of completion as February 6, 2019, revised date of completion as March 31, 2021, which subsequently extended till March 30, 2022. The promoter has obtained Part Occupancy Certificate (OC) for this project on September 8, 2020.

According to the MahaRERA order published on the MahaRERA portal, there were certain online complaints filed by the allottees of the project-1. During the course of hearing held by the MahaRERA bench, it was brought to the notice of the MahaRERA that the promoter has obtained a second project registration number (project-2) – P51800034112 from MahaRERA in the name of Sunteck City Avenue -1- Phase 2 under section 5 of the Rera Act.

MahaRERA

Source: MahaRERA portal

 

The promoter while submitting the application for the registration of project-2 included certain floors from three wings that formed part of its ongoing first project that is also registered with MahaRERA.

  • Five floors in Wing-A i.e, 26th floor to 30th floor (both inclusive).
  • Five floors in Wing-B- i.e., 29th floors to 33rd floors (both inclusive).
  • Four floors in Wing-C-i.e, 3lst floor to 35rd floors (both inclusive).
  • Reduced one floor of C wing 36th floor which is part of the project-1.
  • Allotments made in floors that form a part of both project-1 and 2.

Note that inclusion of such overlapping floors in the project-2 is not in compliance of the provisions of the Rera Act. Therefore, the topmost five floors of the 3 wings now had two registration numbers, which was illegal and needed to be corrected.

In response to the notices issued by the secretary/MahaRERA, the promoter had asked

  • to de-register the registration of the project Sunteck City Avenue 1- phase 2 bearing No. P51 80 0084112
  • to allot the continuation of registration of the project Sunteck City Auenue 1 bearing No. P51800001281 with extension in project validity till December 31, 2023.
  • To allow it to carry necessary corrections / modifications and further updates in the said registration as per MahaRERA rules.

MahaRERA: Final ruling

A project cannot have two and or multiple MahaRERA project registration numbers so as to avoid confusion and misrepresenting amongst the various stake holders. However, by doing such an act of getting the Project-2 registered with the MahaRERA under section 5 of the Rera Act, the Promoter has acted in violation of the provisions of section 4 of the Rera Act. Hence, the promoter is liable for penal action as provided under section 60 of the said Act.

As per the final ruling

  • The MahaRERA Project Registration number P51800034112 issues is revoked and cancelled.
  • The MahaRERA Project Registration number P51800001281 shall stand.
  • The Promoter for revival of the said Project No. 1 may file appropriate application for corrections/ extension/modification etc. as required in the said Project No-1.
  • The Promoter is directed to pay a penalty of Rs 1, 00,000 under the provisions of section 60 of the said Act, for violation of section 4 of the Rera Act.
  • The penalty amount to be paid within 7 days from the date of this order, failing which the application
  • No order as to cost.
Got any questions or point of view on our article? We would love to hear from you. Write to our Editor-in-Chief Jhumur Ghosh at jhumur.ghosh1@housing.com

 

 

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