Real estate in the grasp of violators

Recently, Bangalore resident Reji Sam, a 50-year-old businessman, was looking to move to "a bigger and a better" house from the one he had built over a decade ago. That opened his eyes to the world of real estate and its shenanigans.

Almost all the properties he checked either did not have the papers in order, had violated building norms or did not seem to be of good quality. Finally, he gave up.

"It's tier-II and tier-III builders who indulge in building violations. The bigger players are careful not to violate the bylaws. Also, the big builders have the wherewithal to mitigate it with the help of consultants and other experts," says A N Prakash of A N Prakash Construction Project Management Consultants. He adds violations can be found in about 90 per cent of the buildings here and penalties are too low.

He is critical of the state government's Akrama-Sakrama drive, where one could pay a penalty and regularise violations. "It is the implementing authorities that are encouraging violations, as it gives them a chance to make a fast buck."

Ravindra Madhudi, executive director and promoter of Samruddhi Realty, and a member of Confederation of Real Estate Developers' Association of India, says about 40 per cent of the buildings in Bangalore may have serious violations. The association's code of conduct is violated by small builders, he laments.

Hemang Rawal, managing director of Samruddhi Realty, says: "Building violations are common in all Indian cities. It's not just restricted to Bangalore or Mumbai. It's greed that's driving it. You can't point fingers at any one group for the building by-law violations. The consumers, land owners, builders, officials, politicians... all are equally responsible."