UP Rera imposes fines, orders punitive action on multiple developers

The Uttar Pradesh Real Estate Regulatory Authority (UP RERA) on Monday ordered strict action against multiple real estate developers, including Mahagun and Gaursons groups, over violations of norms and complaints filed by homebuyers.

In its latest hearing, the UPRERA bench reiterated that violations of the Real Estate (Regulation and Development) Act "would not be tolerated".

It imposed fines and referred several cases for punitive action under various sections of the law.

An official told PTI that the latest RERA action largely involves projects located in western Uttar Pradesh, including Noida and Ghaziabad.

According to an official statement, the RERA took a stern view against Mahagun Group, which faced 16 complaints.

"An inquiry revealed that the company uploaded electrical drawings on the RERA portal as an electrical NOC, thereby furnishing misleading information. Despite earlier warnings, no correction was made," the statement said, adding that the cases have now been referred to the UP RERA Secretary for strict punitive action.

Mahalaxmi Group was found guilty in nine complaints. The developer failed to register allotment letters (Builder-Buyer Agreements) in the prescribed format, a violation of the law. The bench has referred the matter for further action, according to the statement.

SJP Hotels and Resorts Pvt Ltd was found guilty of not issuing allotment letters in the prescribed format, while Panchsheel Buildtech Pvt Ltd also failed to register allotment letters, and its case was sent for further action, it said.

Gaursons Realtech Pvt Ltd was found violating a status quo order, and the matter has been referred for punitive action. Mahalaxmi Infrahomes Pvt Ltd was imposed with a fine of Rs 10,000 for submitting incorrect objections, it said.

Gaursons Hi-Tech Infrastructure Pvt Ltd faced stricter action with costs of Rs 25,000 per case (a total of Rs 1,00,000 across four cases) imposed for presenting misleading objections, the RERA said.

According to officials, proceedings under Sections 13, 61 and 63 of the RERA Act were invoked in these cases, providing for penalties ranging from fines to strict punitive measures for repeated violations.