UP-RERA Penalises Supertech, Mahagun and other Projects and Revokes the Third Project of Ansal API


Status as on- 22/03/2021

The UP-RERA have imposed the fine on Supertech, Mahagun India, Ansal Properties and Infrastructure, Logix Infrastructure, and others under Section 63 of the Real Estate (Regulatory and Development) Act, 2016 for failing to comply with the authority’s orders.

The authority has ordered these promoters to ensure that its orders are followed and that the penalty is paid within a month, failing which the penalty will be recovered as land revenue arrears.

The authority, after considering the reply of the promoter had kept the final decision on the show-cause notice on hold for a period of four months subject to the compliance of all the nine conditions specified in the above mentioned order. The promoter did not comply with the order and hence the authority vide its notice dated September 5, 2020, directed the promoter to submit the compliance report of its order.

The authority after considering the reply of the promoter Ansal API dated October 14, 2020 and its oral submissions, decided to revoke the registration of this project with immediate effect for the reasons of following glaring irregularities:

  • Irregularities committed in the sale of units under the project;
  • The money was taken from the allottees without first acquiring a project map, which is evidence of a shady business practise;
  • No work has been done by the promoter over the previous 9 years, that is since the year 2011;
  • A total of Rs. 16.03 crore was diverted by the promoter from the project’s allottees;
  • Necessary compliances including the QPR of the project were not done on the website of the Authority;
  • The promoter has disobeyed orders issued by the Authority’s benches in response to allottee complaints.

The authority has also barred the promoter from accessing the project’s registration page on the authority’s website, frozen the project’s escrow account in HDFC Bank, Hazratganj, and formed a project monitoring and advisory committee headed by Bhanu Pratap Singh, member, UP-RERA, to facilitate the project’s remaining work under section 8 of RERA.

UP-RERA has taken this step to ensure that homebuyers’ interests are effectively protected and that the RERA Act’s provisions are followed. This is Ansal API’s third project to have its registration cancelled by the authority.

Resource- UP-RERA.in

Disclaimer – The above article is based on the personal interpretation of the related orders and laws. The readers are expected to take expert opinion before relying upon the article. For more information, please contact us at rera@centrik.in

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