SC says RERA can delegate powers to listen to homebuyer complaints
Real Estate

SC says RERA can delegate powers to listen to homebuyer complaints

The Supreme Court has said that the Real Estate Regulatory Authority (RERA) can transfer its powers to a single member to listen to the complaints from homebuyers against builders.

A three-judge bench headed by Justice U U Lalit said that Section 81 of the Real Estate (Regulation and Development) Act, 2016 enables the authority to transfer its functions and power to any of its members by general or special order.

The top court said that the scheme of the Act, 2016 renders an in-built mechanism and any order passed on a complaint by the authority is appealable if any clear error is left by the authority either in computation or in the amount refundable to the homebuyer or allottee.

The apex court said that the Real Estate (Regulation and Development) Act, 2016 (RERA) is retroactive (taking effect from a date in the past) in nature and includes all ongoing projects for which a completion certificate has not been released.

The top court said that the legislative intent is to make the Act applicable not just to the projects which were yet to begin after the Act became operational but additionally to bring under its fold the continuing projects and to preserve from its inception the rights of the stakeholders.

The unambiguous language of the statute is retroactive in operation. The legislature consciously set a retroactive statute to ensure the sale of plot, flat or building, realty projects is done effectively and transparently so that the interest of consumers in the realty sector is preserved by all means.

The bench, additionally including Justices Ajay Rastogi and Aniruddha Bose, made it clear that the value which has been decided and refundable to the allottees or homebuyers either by the authority or the adjudicating officer in terms of the order is recoverable within the ambit of Section 40(1) of the Act.

The judgment dated November 11 came on a plea filed by Newtech Promoters and Developers against an Allahabad High Court order which rejected its appeal against an order of a single member of the Uttar Pradesh Real Estate Regulatory Authority (Authority).

As per the order, the company was ordered to refund the principal sum along with interest to homebuyers who were not given possession of apartments on time.

Image Source

Also read: TN RERA to resolve complaints against projects made before 2016

The Supreme Court has said that the Real Estate Regulatory Authority (RERA) can transfer its powers to a single member to listen to the complaints from homebuyers against builders. A three-judge bench headed by Justice U U Lalit said that Section 81 of the Real Estate (Regulation and Development) Act, 2016 enables the authority to transfer its functions and power to any of its members by general or special order. The top court said that the scheme of the Act, 2016 renders an in-built mechanism and any order passed on a complaint by the authority is appealable if any clear error is left by the authority either in computation or in the amount refundable to the homebuyer or allottee. The apex court said that the Real Estate (Regulation and Development) Act, 2016 (RERA) is retroactive (taking effect from a date in the past) in nature and includes all ongoing projects for which a completion certificate has not been released. The top court said that the legislative intent is to make the Act applicable not just to the projects which were yet to begin after the Act became operational but additionally to bring under its fold the continuing projects and to preserve from its inception the rights of the stakeholders. The unambiguous language of the statute is retroactive in operation. The legislature consciously set a retroactive statute to ensure the sale of plot, flat or building, realty projects is done effectively and transparently so that the interest of consumers in the realty sector is preserved by all means. The bench, additionally including Justices Ajay Rastogi and Aniruddha Bose, made it clear that the value which has been decided and refundable to the allottees or homebuyers either by the authority or the adjudicating officer in terms of the order is recoverable within the ambit of Section 40(1) of the Act. The judgment dated November 11 came on a plea filed by Newtech Promoters and Developers against an Allahabad High Court order which rejected its appeal against an order of a single member of the Uttar Pradesh Real Estate Regulatory Authority (Authority). As per the order, the company was ordered to refund the principal sum along with interest to homebuyers who were not given possession of apartments on time. Image Source Also read: TN RERA to resolve complaints against projects made before 2016

Next Story
Infrastructure Urban

India To Invest $37 Billion To Boost Petrochemical Capacity

India is set to become a major global player in the petrochemicals industry, driven by a planned capital expenditure of $37 billion (Rs 3.1 trillion) aimed at reducing import dependency and enhancing self-sufficiency, according to S&P Global Ratings.In its latest report titled “First China, Now India: Self-Sufficiency Goals Will Add To Petrochemicals Supply”, S&P said India’s large-scale capacity expansion—mirroring China’s earlier push—will likely intensify oversupply pressures in Asia’s petrochemical markets.Currently the world’s third-largest petrochemical consumer a..

Next Story
Infrastructure Transport

Indian Railways Expands Global Exports Of Rail Equipment

Indian Railways has announced that it is rapidly emerging as a global exporter of railway equipment, including bogies, coaches, locomotives, and propulsion systems, under the government’s ‘Make in India, Make for the World’ initiative.According to an official statement, India’s railway products are now reaching over 16 international markets, reflecting the country’s growing capacity to design, develop, and deliver world-class rail solutions.Metro coaches have been exported to Australia and Canada; bogies to the United Kingdom, Saudi Arabia, France, and Australia; propulsion systems t..

Next Story
Infrastructure Transport

RailTel Awards Rs 163 Million Contract To RTNS Technology

RailTel Corporation of India Limited (RailTel), a Mini Ratna Public Sector Undertaking, has awarded a domestic work order worth Rs 163 million to RTNS Technology Private Limited.The contract, issued on 30 September 2025, involves the supply and installation of equipment and related services for one of RailTel’s key customers. The project underscores RailTel’s commitment to advancing technology and communication infrastructure through collaboration with domestic system integrators.RTNS Technology Private Limited, an ISO-certified system integrator, provides comprehensive solutions for perim..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?