Homebuyers seek compensation over developers' non-compliance

17 Apr 2023 CW Team

The Forum for People's Collective Efforts (FPCE), a pan-India homebuyers' body, has sought compensation from the Maharashtra Real Estate Regulatory Authority (MahaRERA), while also raising concerns about real estate developers' failure to provide quarterly statutory project updates.

It has also demanded that the promoters of these projects be penalised for this non-compliance under Section 61 of the Real Estate (Regulation & Development) Act, 2016, which imposes a penalty of up to 5% of the estimated project cost on the defaulter.

The regulator issued notices to approximately 16,000 developers and promoters across the state last week for failing to receive satisfactory responses regarding information about their projects. MahaRERA issued show cause notices to 19,500 projects in January for failing to update the mandatory project information as required by Section 11 of the Act. This means that 3,500 notices for various projects, or roughly 18%, have since been complied with.

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