Telangana RERA Fines Four Realtors Rs 3.69 Lakh for Fraud

Hyderabad: The Telangana Real Estate Regulatory Authority (TGRERA) has imposed a fine of Rs 3.69 lakh on four realtors for alleged fraud and non-compliance with the RERA Act 2016. The authority found that the respondents were not registered with the RERA Act, leading to the imposition of penalties under Section 62 of the Act.

One of the four respondents, Sikha Balaraju of Vijayawada, approached Anji Reddy, managing director of Viana Homes Pvt Ltd, Gachibowli. Balaraju proposed that he had a substantial client base interested in purchasing commercial space in Poojitha Tech Park, a commercial complex located in Kokapet village, Gandipet mandal, Ranga Reddy district. Despite discussions, no express agreement was entered into with the respondents.

Subsequently, the respondents introduced the complainant to several prospective purchasers, leading to the execution of some sale agreements. However, the complainant alleged that the respondents falsely represented themselves as licensed and authorised RERA agents. The complainant's company, Viana Homes, had not entered into any agency agreements with Sikha Balaraju and the other respondents.

The complainant also filed a police complaint against the respondents, alleging that they had engaged in forging and fabricating signatures and receipts of the complainant company representatives. FIRs were registered by the Economic Offences Wing (EOW) of the Cyberabad police station against Sikha Balaraju for the alleged fraud and cheating to the tune of Rs 4 crore regarding the Poojitha Tech Park project.

The TGRERA authority established that the respondents were real estate agents not registered with the RERA Act 2016. The authority found that they had gravely violated the Act and were liable for a penalty under Section 62 of the RERA Act 2016. In its order issued on May 17, the RERA authority granted the relief sought by the complainant regarding the imposition of a maximum penalty.

This action by TGRERA is a significant step in ensuring transparency and accountability in the real estate sector, protecting consumers from fraudulent practices and unregistered agents. It also underscores the importance of compliance with the RERA Act 2016, which aims to regulate the real estate sector and protect the interests of homebuyers and investors.