“The respective developers have been given three months time to apply afresh after rectifying their application and removing their defects. If they fail to comply with the norms, we will not allow these projects to continue with construction work,” UP RERA secretary Abrar Ahmed told Business Standard.
He further said that if the developer failed to comply with the three month notice period it would indicate a a strong possibility that the project was unlikely to take off or get completed.
Builders and developers seeking to register projects with RERA have to apply to the regulator in the respective states along with all the details pertaining to land, maps, approvals etc. The RERA will then scrutinise and vet these projects before giving its approval. Projects can also be rejected over defects of land or lease titles.
Earlier this month, UP RERA had asked banks to comply with escrow account provisions, after taking cognisance that builders/promoters were not complying with the statutory provisions of the Real Estate
(Regulation and Development) Act, 2016, and withdrawing funds without proper sanction, thus violating the provisions of the Act.
The regulator had sent letters to the zonal/state heads of all 42 scheduled public and private sector banks and also the Director General of Institutional Finance Directorate for being more vigilant of the operation of escrow accounts maintained by promoters/developers and the compliance of the relevant sections of the Act.