Decision given by Gujarat Real Estate Appellate Tribunal, Gandhinagar in case of M/s Sambhav Corporation V. The Secretary, Gujarat Real Estate Regulatory Authority
Following Principle emerged from the decision
Whether late filing of Project alteration plan will lead to penalty?
Yes – the intimation for Project alteration should be done on timely basis and within the relevant quarter.
Whether the promoter will be liable to penalty if the intimation of Project alteration is made after the due date of filing Quarterly Returns?
Yes – If the Promoter fails to provide quarterly up to date status of Project on Guj RERA Portal within time limit then it will be breach of Section 11(1)(e) of The Real Estate (Regulation & Development) Act 2016 and Rule 10(d) of Gujarat Real Estate (regulation and development) (Matters relating to Real Estate Regulatory Authority) Rules – 2016 and Order 5 of Guj Rera dated 15/01/2018. In case of M/s Sambhav Corporation V. The Secretary, Gujarat Real Estate Regulatory Authority Guj RERA has passed order to pay penalty of Rs 50,000/- for breach of such provisions and Tribunal has upheld the order passed by the Authority
|Appeal||Being aggrieved by order passed by GUJ RERA Authority, M/S SambhavCorporation (the appellant) filed appeal under Section 44(1) of The Real Estate (Regulation and Development) Act, 2016|
|Facts of Case||The appellant of this appeal has failed to provide quarterly up to date status ofProject on Guj RERA Portal within time limit. Hence there is breach of Section 11(1)(e) of The Real Estate (Regulation & Development) Act 2016 and Rule 10(d) of Gujarat Real Estate (regulation and development) (Matters relating to Real Estate Regulatory Authority) Rules – 2016 and Order 5 of Guj Rera dated 15/01/2018. For the breach of these provisions the Guj RERA has passed order to pay penalty of Rs 50,000/-|
|Contention of the Promoter||The appellant had submitted the alteration plan, even though withoutconsidering the fact Guj RERA has passed penalty order. Further Penalty of Rs 50,000/- is too high. Therefore appellant prayed to reduce the penalty.|
|Contention of the Department||The time limit of filing quarterly return was 07/10/2018. The appellant informedGUJ RERA for its alternation on 02/01/2019. Therefore, request for alternation cannot be considered. The request for extend time for filing quarterly return dated 07/10/2018 was granted by Guj RERA to appellant with condition that the appellant shall deposit Rs 10,000/- toward processing fees. The appellant didn’t pay the process fees and hence on account of breach of Provisions of Act Guj RERA passed penalty order of Rs 50,000/-|
|Principle Laid down by Appellate Tribunal||The Promoter has admitted that Promoter has not made breach of act intentionally. Hence, the Order passed by Guj RERA levying penalty of Rs 50,000/- is confirmed.|
Relevant Sections & Definitions
Section 11(1)(e) of The Real Estate (Regulation and Development) Act, 2016.
- (1) The promoter shall, upon receiving his Login Id and password under clause (a) of sub-section (1) or under sub-section (2) of section 5, as the case may be, create his web page on the website of the Authority and enter all details of the proposed project as provided under sub-section (2) of section 4, in all the fields as provided, for public viewing, including –
(e) quarterly up-to-date status of the project;
10(d) of Gujarat Real Estate (regulation and development) (Matters relating to Real Estate Regulatory Authority) Rules – 2016
- Details to be published on the website.- (1) For the purpose of clause (b) of section 34, the Authority shall ensure that the following information shall be made available on its website in respect of each project registered-
(d) The promoter shall upload the following updates on the webpage for the project, within seven days from the expiry of each quarter:
(i) List of number and types of apartments or plots, as the case may be booked; (ii) List of number of garages booked;
(iii) Status of the project:
(A) Status of construction of each building with photographs;
(B) Status of construction of each floor with photographs;
(C) Status of construction of internal infrastructure and common areas with photograph
(iv) Status of approvals:
(A) Approval received;
(B) Approvals applied and expected date of receipt;
(C) Approvals to be applied and date planned for application;
(D) Modifications, amendment or revisions, if any, issued by the competent Authority with regard to any license, permit or approval for the project.