Haryana RERA penalises coral realtors for unregistered mall promotion

12 Mar 2024 CW Team

The real estate regulatory authority, RERA, has fined Coral Realtors, a realtor based in the city, Rs 5 million for neglecting to register its ongoing project with the authority. An official stated that the realtor incurred the penalty due to advertising and creating third-party rights in the project before its registration.

As per an official statement, the Authority deemed it a clear violation of Section 3 of the Act in 2016. The order mentioned, "Therefore, the Authority decides to impose a penalty of Rs 5 million. The registration certificate will be issued only after receipt of the penalty."

Coral Realtors is currently constructing the Metro World Mall, a commercial project in Sector 56, Gurugram. Section 3 of the RERA Act mandates the registration of a real estate project before establishing third-party rights.

The Act in 2016, Section 3, states, "No promoter shall advertise, market, book, sell or offer for sale, or invite persons to purchase in any manner any plot, apartment or building, as the case may be, in any real estate projects or part of it, in any planning area, without registering the real estate project with the real estate regulatory authority established under this Act."

According to the order, Coral Realtors, the promoter, applied for the project's registration with RERA, Gurugram, only after the Authority initiated a separate Suo Motu proceeding upon taking cognizance of the matter.

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