MahaRERA Cracks Down on 628 Housing Projects for Non-Compliance with Registration Rules

The Maharashtra Real Estate Regulatory Authority (MahaRERA) has taken action against 628 housing projects across the state for failing to display their registration number and QR code in advertising materials.

MaharashtraReal EstateReraMahareraHousing ProjectsReal EstateJul 08, 2024

MahaRERA Cracks Down on 628 Housing Projects for Non-Compliance with Registration Rules

Real Estate:The Maharashtra Real Estate Regulatory Authority (MahaRERA) has initiated action against 628 housing projects across the state for failing to display their registration number and QR code in advertising materials. These projects have collectively been fined Rs 88.90 lakh, with Rs 72.35 lakh already recovered.

Among the 628 projects, 312 are from Mumbai region, 250 from Pune and 66 from Nagpur region. The Mumbai region, which includes Mumbai, Mumbai suburban, Thane, Nashik, and Konkan, saw 312 projects fined Rs 54.25 lakh, of which Rs 41.50 lakh has been collected.

The MahaRERA has urged homebuyers to avoid transactions with housing projects that do not display the mandatory RERA registration number. Chairperson of MahaRERA Ajoy Mehta said punitive action against violators will continue.

To effectively enforce guidelines and identify violators, the MahaRERA collaborated with the Advertising Standards Council of India (ASCI). Given that advertisements now span various media formats, including digital platforms, this collaboration aims to identify violators across all media types.

The partnership, supported by artificial intelligence, has successfully identified violations in newspapers, websites, online video streaming channels, and social media. Interestingly, the rate of violations is notably higher on social media compared to traditional advertising formats, according to MahaRERA.

Under the Real Estate (Regulation and Development) Act, any project in Maharashtra exceeding 500 square metres or involving more than eight apartments (including plots) must be registered with MahaRERA. Marketing and sales activities for such projects are prohibited without a registration number from MahaRERA.

Since August 1, 2023, developers are also required to provide detailed information about the project, such as the project’s name, developer’s name, registration renewal status, expected completion date, pending complaints, pending litigations, and any recovery warrants issued. A scan of the project’s QR code should reveal all this information.

Information
MahaRERA is a regulatory body established under the Real Estate (Regulation and Development) Act, 2016, to regulate and promote the real estate sector in Maharashtra.

The Advertising Standards Council of India (ASCI) is a self-regulatory organization that aims to promote responsible advertising practices in India.

Frequently Asked Questions

How many housing projects were penalized by MahaRERA?

628 housing projects across the state were penalized by MahaRERA for failing to display their registration number and QR code in advertising materials.

What is the total amount of fine collected by MahaRERA?

Rs 72.35 lakh has been collected by MahaRERA from the penalized projects.

Why is it mandatory for housing projects to display their RERA registration number?

Under the Real Estate (Regulation and Development) Act, any project in Maharashtra exceeding 500 square metres or involving more than eight apartments (including plots) must be registered with MahaRERA, and marketing and sales activities are prohibited without a registration number.

What information should a developer provide about their project according to MahaRERA guidelines?

Developers are required to provide detailed information about the project, such as the project’s name, developer’s name, registration renewal status, expected completion date, pending complaints, pending litigations, and any recovery warrants issued, which can be accessed through the project’s QR code.

What is the role of ASCI in ensuring compliance with MahaRERA guidelines?

ASCI collaborated with MahaRERA to identify violators across all media types, including digital platforms, using artificial intelligence to effectively enforce guidelines and identify violators.