UP to speed up realisation of RCs issued by RERA in next year
Real Estate

UP to speed up realisation of RCs issued by RERA in next year

Uttar Pradesh is expecting to expedite the process of realisation of recovery certificates (RCs) issued by RERA in favour of homebuyers in the coming fiscal year, starting April, with the state government last December empowering district administrations to put up properties of errant developers for e-auction.

Since the state has been in election mode, its complete execution will commence once the next government takes office, as per the officials. Data up to January 2021 reveals that in Uttar Pradesh, out of 2,177 RCs that were released, since the start of Real Estate Regulations Act (RERA) in 2018, just 353 were issued by district administrations. District administrations are enforcers of RC orders from RERA.

There is a condition in Section 40 of the Real Estate (Regulation and Development) Act, 2016, which authorises district administrations to recover dues or arrears from erring developers on any UP-RERA bench order which has given an RC. But it was brought to the notice of the government that there are many banks which, to recover dues from defaulter developers, e-auction their properties, Rajive Kumar, chairperson of the UP-RERA told the media.

In one of the meetings with the government, an idea came up that district administrations should also be granted powers to e-auction properties of developers to recover dues of unhappy homebuyers since it will be less cumbersome than the traditional method.

With voting in the seven-phase assembly polls approaching the final lap and results to be announced on March 10, UP-RERA expects to witness a faster process of RC realisations once the next government is in place.

To prepare for this, they have asked all district administrations to share information on how many recovery certificates they have acted upon.They are additionally collecting data from across the state on how many recovery certificates have been released.

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Also read: UP RERA revives 4-year stalled projects in Noida

Uttar Pradesh is expecting to expedite the process of realisation of recovery certificates (RCs) issued by RERA in favour of homebuyers in the coming fiscal year, starting April, with the state government last December empowering district administrations to put up properties of errant developers for e-auction. Since the state has been in election mode, its complete execution will commence once the next government takes office, as per the officials. Data up to January 2021 reveals that in Uttar Pradesh, out of 2,177 RCs that were released, since the start of Real Estate Regulations Act (RERA) in 2018, just 353 were issued by district administrations. District administrations are enforcers of RC orders from RERA. There is a condition in Section 40 of the Real Estate (Regulation and Development) Act, 2016, which authorises district administrations to recover dues or arrears from erring developers on any UP-RERA bench order which has given an RC. But it was brought to the notice of the government that there are many banks which, to recover dues from defaulter developers, e-auction their properties, Rajive Kumar, chairperson of the UP-RERA told the media. In one of the meetings with the government, an idea came up that district administrations should also be granted powers to e-auction properties of developers to recover dues of unhappy homebuyers since it will be less cumbersome than the traditional method. With voting in the seven-phase assembly polls approaching the final lap and results to be announced on March 10, UP-RERA expects to witness a faster process of RC realisations once the next government is in place. To prepare for this, they have asked all district administrations to share information on how many recovery certificates they have acted upon.They are additionally collecting data from across the state on how many recovery certificates have been released. Image Source Also read: UP RERA revives 4-year stalled projects in Noida

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