GujRERA Takes Action Against Shivalik Group for Pre-Registration Marketing

A bench of the Gujarat Real Estate Regulatory Authority (GujRERA) has referred a case involving the Shivalik Wave project to its secretary for legal action due to allegations of marketing and booking units before RERA registration.

GujreraShivalik WavePreregistration MarketingDevarshi ParikhReal Estate RegulationsReal EstateMay 16, 2025

GujRERA Takes Action Against Shivalik Group for Pre-Registration Marketing

Real Estate:A bench of the Gujarat Real Estate Regulatory Authority (GujRERA) has referred a case involving the 32-storey project Shivalik Wave to its secretary for appropriate legal action against the project’s promoters. The referral concerns allegations of marketing and booking units before the project was registered with RERA.nnThe complaint was filed by Devarshi Parikh, a resident of Gandhinagar, against promoters Chitrak Shah and Anil Desai. Parikh alleged that the promoters marketed the project—located at Final Plot No. 106 of TP Scheme No. 63 in Khoraj village near Vaishnodevi Circle—before obtaining RERA registration. He also claimed that he was promised a 1% brokerage fee, amounting to Rs 3.5 crore, for providing details of the 13,500-square-yard plot to the Shivalik Group. However, the amount was never paid.nnParikh requested that RERA direct the promoters to pay the brokerage and take action for alleged pre-registration marketing.nnIn response, Shivalik’s representative argued that Parikh is neither an allottee nor a real estate agent but a private individual. Therefore, the complaint regarding unpaid brokerage does not fall under RERA’s jurisdiction, as per Section 31 of the RERA Act, which allows only an “aggrieved person” to file a complaint.nnRERA framed two key issues. The authority ruled that since Parikh is not an allottee or a registered agent, the matter is a civil dispute and outside its jurisdiction. The other issue pertains to pre-registration marketing. RERA reviewed photographs submitted by Parikh showing promotional material with the Shivalik Group’s name and contact number but lacking a RERA registration number or website. Since the project was not registered at the time of marketing, GUJRERA found this to be a violation and referred the matter to its secretary for further legal action.nnThe Gujarat Real Estate Regulatory Authority (GujRERA) is a regulatory body established under the Real Estate (Regulation and Development) Act, 2016, to protect the interests of homebuyers and promote transparency, accountability, and efficiency in the real estate sector. This case highlights the importance of compliance with RERA regulations to ensure fair practices in the industry.

Frequently Asked Questions

What is the main issue in the case against Shivalik Wave?

The main issue is the alleged marketing and booking of units before the project was registered with RERA, which is a violation of the RERA Act.

Who filed the complaint against Shivalik Wave?

The complaint was filed by Devarshi Parikh, a resident of Gandhinagar, against the promoters Chitrak Shah and Anil Desai.

What was the claim made by Devarshi Parikh?

Parikh claimed that he was promised a 1% brokerage fee, amounting to Rs 3.5 crore, for providing details of the 13,500-square-yard plot to the Shivalik Group, which was never paid.

Why did RERA reject the brokerage claim?

RERA rejected the brokerage claim because Parikh is neither an allottee nor a registered agent, and such claims fall outside RERA’s jurisdiction under Section 31 of the RERA Act.

What action did RERA take regarding the pre-registration marketing?

RERA found the pre-registration marketing to be a violation and referred the matter to its secretary for further legal action.

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