Telangana RERA Imposes Rs 3 Lakh Fine on Ashritha Group for Real Estate Violations

The Telangana Real Estate Regulatory Authority (TG RERA) has taken stringent action against the Ashritha Group in Jubilee Hills, ordering the company to register two residential flats in favor of homebuyers and imposing a penalty of ₹3 lakh for violating statutory obligations under the Real Estate (Regulation and Development) Act.

The order pertains to complaints filed by two residents of Miyapur, Srinivasulu Bode and C Malleswari Nandireddy, who entered into agreements of sale in 2021 for two flats in 'Jewels County', a residential project approved by HMDA and registered with RERA. The complainants alleged that the builder failed to honor the agreement terms, retracted earlier receipts, and created confusion around payments. Despite notices and follow-ups, the builder allegedly refused to address their concerns and threatened the cancellation of the agreement.

In its order, TG RERA held the Ashritha Group accountable under section 11(5) of the RE(R&D) Act, 2016, and directed the builder to register the subject flats in favor of the complainants, conditional upon the receipt of dues as per the agreed milestone-based payment schedule. The authority also imposed a ₹3 lakh fine on the company, with instructions to remit the amount to the RERA fund within 30 days.

Ashritha Group contended that the agreements stood cancelled due to the complainants' alleged default in payment and that they were offered a refund. The builder claimed that the complainants failed to respond and forfeited their right to seek registration or damages. However, the authority found the builder's actions in violation of statutory duties and partly allowed the complaints.

This decision by TG RERA underscores the importance of adherence to the Real Estate (Regulation and Development) Act, ensuring that homebuyers' rights are protected and that builders are held accountable for their obligations. The regulatory body continues to play a crucial role in maintaining transparency and fairness in the real estate sector, particularly in areas like Jubilee Hills, where residential projects are in high demand.

For homebuyers, this ruling serves as a reminder to carefully review agreements and seek legal advice if they encounter any issues with builders. It also highlights the need for builders to maintain clear and transparent communication with their clients to avoid legal disputes and penalties.

In summary, the Telangana RERA's decision to penalize the Ashritha Group and order the registration of the flats in favor of the complainants is a significant step towards ensuring compliance with the Real Estate (Regulation and Development) Act and protecting the interests of homebuyers.