Hyderabad Real Estate Giants Fined Rs 77 Lakh for RERA Violations

Hyderabad: The Telangana Real Estate Regulatory Authority (TGRERA) has imposed fines totaling Rs 77 lakh on three prominent real estate firms in Hyderabad for violations of the RERA Act. The penalties were levied following complaints from home buyers regarding non-compliance with regulatory requirements.

The complaints ranged from non-registration of projects to irregular sale agreements, highlighting the importance of adherence to the RERA Act in ensuring transparency and protecting the interests of home buyers.

Jayathri Infrastructures: Selling Flats Without Project Registration

In the first case, Jayathri Infrastructures Pvt Ltd, located in Kukatpally, was fined Rs 18.35 lakh. A complaint filed by Sumit Kumar Soni and Ranjana Bansal of Gachibowli revealed that the company was selling and marketing flats in its project Sky Exotica without registering the project with TGRERA.

As per the RERA Act, no builder is allowed to advertise, market, or sell flats in a real estate project unless it is registered with the authority. By bypassing this requirement, Jayathri Infrastructures denied buyers crucial safeguards such as project details, delivery timelines, and accountability under RERA.

Krithika Infra Developers: Executing Unregistered Sale Agreement

The second case involved Krithika Infra Developers, based in LB Nagar, which was penalized Rs 54.26 lakh, the highest among the three. Anuparthi Sandhya Rani of Uppal complained that the firm executed an unregistered Agreement of Sale for a property transaction.

RERA mandates that all Agreements of Sale must be registered to ensure the buyer’s legal rights over the property are protected. By executing an unregistered agreement, Krithika Infra Developers created legal uncertainty for the buyer and undermined transparency in the transaction.

Sunrise Constructions: Failure to Register the Sale Deed

In the third case, Sunrise Constructions, located in Ramachandrapuram, was fined Rs 5 lakh following a complaint from Shiva Shankar Reddy of Karimnagar district. The developer failed to register a sale deed for Flat No. 411 in ‘Sunrise Abode’, despite having received payment.

Registration of the sale deed is the final legal step transferring ownership rights to the buyer. Failure to execute it within the stipulated time leaves buyers vulnerable, even after investing substantial sums.

TGRERA Chairman N. Satyanarayana ordered Sunrise Constructions to execute and register the pending sale deed within 30 days of the order.

Authority Reiterates Buyer Protection

Through these actions, TGRERA reinforced that non-registration of projects, improper agreements, and delays in sale deed execution will not be tolerated. Officials noted that such practices not only violate the law but also compromise buyer interests and erode trust in the real estate sector.

The penalties imposed by TGRERA serve as a reminder to all real estate developers in Telangana to adhere to the RERA Act and ensure transparency and accountability in their operations. This move is expected to enhance the trust and confidence of home buyers in the real estate market.