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The state government issued the notification following demand from many local bodies to reduce the compounding fees.

PUNE: The state government on Tuesday issued a notification giving local self-government bodies the right to decide on the fee to be charged for regularizing unauthorized constructions in civic limits.

The state government issued the notification following demand from many local bodies to reduce the compounding fees. The notification said the decision was taken after “various planning authorities in the state communicated various issues that cropped up during implementation and requested the government to reduce the compounding charges required to be paid in such cases”.

The notification assumes significance because the elected members in the Pune Municipal Corporation (PMC) are contemplating to reduce the charges. A proposal to cut the charges by 80% was approved by the city improvement committee. The proposal is under consideration of the general body of the PMC and is expected to sail through after the state’s notification.

Corporators in PMC demanded the reduction, saying it would give relief to many citizens. Elected members claimed that the common citizens, duped by builders, were suffering because of heavy compounding charges.

The state government in 2017 had given approval to a scheme for compounding the unauthorized constructions. Constructions carried out before December 31, 2015, are eligible for the scheme.

The scheme did not get good response in Pune with owners of only around 40 properties approaching the civic body to get their constructions regularized in the past six months. Though the move would be a relief to those having unauthorized properties, the civic activists have termed it unjust.

“Only reduction of charges will not help much. If the property owners have not followed all the other norms, the properties should not be compounded,” said Vishwas Sahastrabuddhe of Sajag Nagrik Manch, a citizens’ forum.

He said major discounts for regularizing illegal properties would encourage more such unauthorized constructions. 

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MahaRERA to accept Complaints against unregistered projects.

PUNE: Consumers will be allowed to file complaints against unregistered real estate projects on the MahaRERA website after paying Rs 5,000 from August 16

The move follows the July 31 order of the Bombay high court, which made it mandatory for the Maharashtra Real Estate Regulatory Authority (MahaRERA) to hear complaints of consumers, irrespective of the registration status of the project concerned.

In other words, the authority cannot refuse to hear consumer grievance filed under Section 3 of the RERA Act if the realty project–under-construction or completed–is not registered with the authority

MahaRERA secretary Vasant Prabhu told TOI that they have already uploaded a form under the “source information” category would enable the payment facility for those desiring a hearing for their complaints from August 16.

“Earlier, consumers could file complaints without having to provide the details about the project under the “source information” category. However, it was done in a haphazard manner. To overcome this, we have changed the format of the form, making it easier for the authority to initiate action. Now, with the HC order, all projects that are not registered with MahaRERA will also be treated as source complaints and can be given a hearing provided all the details and payment are made by the complainant,” Prabhu said.

MahaRERA is treating this as a win-win situation for both the authority and the consumers as the complaints  filed under Section 3 of the RERA Act can ensure that more “unregistered  projects” come under the ambit of MahaRERA. Presently, there are 17,353 projects registered with the authority in the state.

Prabhu said Section 3 of the RERA Act mandates that no developer can advertise, market or sell unless he/she registers the project with MahaRERA. In fact, all developers were expected to register with the authority within three months of commencement of the Act, which came into effect in May 2107.

Consumers said the HC order gives more teeth to MahaRERA. “The high court order will ensure that all developers register their projects. And once all the projects are registered, all the sections of the RERA Act will be automatically applicable on them,” Vijay Sagar, president of the Akhil Bharatiya Grahak Panchayat, Pune, said.

He said there were a number of developers who had not completed and registered their projects and had even built floors beyond the legal sanction.  Due to the HC order, MahaRERA will now have to entertain complaints from consumers, thus, bringing down the number of unregistered projects and illegalities involved, Sagar said.

 

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WHAT IS RERA

The real estate Regulation & Development Act (RERA) which came into effect onMay1, 2017, provides India’s real estate sector its very first regulator. It will bring clarity & Establish fair practise that would protect the interests of home buyers. Here are the Top Features of RERA that you should know about:

SECURITY

• A minimum of 70% of Investors and buyer’s money would be kept in a separate escrow account. This money can only be spent on constructions of the projects and the cost borne towards the land.
• Developers can’t ask more that 10% of the property’s cost as an advanced payment booking amount before the registered sale agreement is signed.

 

TRANSPARENCY

• Under RERA, Builders are required to submit the original approved plans for their ongoing projects and the alteration that they made later to the regulator.
• Developers can’t make any changes to the plan without written consent to buyers.

FAIRNESS

• Under RERA properties will be sold based on carpet area and not on super built-up area.
• In the event of project delay, buyers are entitled to receive the entire money invested or they can stay invested and receive monthly interest.

QUALITY

• If any issue is highlighted by the buyer to the regulator within 5 years from the date of possession. Then it has to be fixed within 30 days by the builder.

AUTHORIZATION

• Without registration with the regulator, a developer would not be able to invite, advertise sell, offer or book any plot, apartment, house, building or any other investment in the project.
• Post registration. All the advertisement soliciting investment will have to bear the unique project-wise RERA registration number.

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