Wednesday, December 28, 2016

5 Objections Against Maharashtra RERA Rules

If approved as published, 
Maharashtra RERA Rules will give legal authority to the builders 
to dominate, victimize & intimidate flat buyers in Maharashtra. 
That's why it is the duty of every citizen to email his objections 
by 31st December 2016 at 
suggesstionsonrera@maharashtra.gov.in

- Vijay Kumbhar



1) Maharashtra RERA Rules - Licence to dominate, intimidate & victimize flat buyers:


In his 18 minutes Marathi Youtube Video Mr. Vijay Kumbhar, RTI Activist, claims that instead of protecting flat buyers, Maharashtra RERA Rules give legal authority to the builders to dominate, intimidate & victimize the flat buyers.

Mr. Kumbhar has come to this conclusion after studying Maharashtra RERA Rules, the original Real Estate (Regulation and Development) Act 2016 of Central Government of India, and the rules of Real Estate Regulatory Authority (RERA) established in the Union Territories.

2) How will Maharashtra RERA Rules give legal authority to the builders to dominate, intimidate & victimize the flat buyers?


Look at these 5 clauses, Mr. Kumbhar says -

If Maharastra RERA Rules are approved as published:

1) Builder can easily terminate your flat agreement

2) Complaining against the builder is going to be very expensive

3) Builder's complete track record will not be available for the flat buyers

4) Real estate agents can cheat the flat buyers & get away with crime easily

5) Builder can discriminate against flat buyers

In short, instead of eradicating unfair, illegal & exploitative current business practices of the builders, Maharashtra RERA Rules give legal status to dominate, intimidate & victimize the flat buyers!

3) 31st December 2016 - the last day to email your objections:


That's why, Mr. Kumbhar says, you should raise objections against Maharashtra RERA Rules and email them at suggesstionsonrera@maharashtra.gov.in - by 31st December 2016.



Here is the summary of 5 objections:

1) If Maharastra RERA Rules are approved as published - builder can easily terminate your flat agreement:


Look at the clause no 6.3 & 6.4 on Page No 47. It says that by giving 7 days email notice a builder can terminate your flat agreement and sale your flat to anyone at any rate!

Not only that!!

You have to wait for 6 months to get your money back.

And you know what?

A builder will not pay you any interest for these 6 months - but you will keep on paying interest to the bank.

It means that the builder has all powers to dominate, intimidate & victimize you from the day to register your flat agreement.

You become a builder's slave on the day you sign the flat agreement.

6.3 Provided that, Promoter shall give notice of seven days in writing to the Allottee by email at the email address provided by the Allottee of his intention to terminate this Agreement and of the specific breach or breaches of terms and conditions in respect of which it is intended to terminate the Agreement. If the Allottee fails to rectifies the breach or breaches mentioned by the Promoter within the period of notice then at the end of such notice period, promoter shall be entitled to terminate this Agreement and upon termination of this Agreement the Promoter, shall be at liberty to dispose of and sell the Apartment to such person and at such price as the Promoter may in his absolute discretion think fit.

6.4 Provided further that upon termination of this Agreement as aforesaid, the Promoter shall refund to the Allottee (subject to adjustment and recovery of any agreed liquidated damages or any other amount which may be payable to Promoter) within a period of six months of the termination, the instalments of sale price of the Apartment which may till then have been paid by the Allottee to the Promoter but the Promoter shall not be liable to pay to the Allottee any interest on the amount so refunded.

2) If Maharastra RERA Rules are approved as published - complaining against the builder is going to be very expensive:


CHAPTER VIII
REAL ESTATE APPELLATE TRIBUNAL
28. Form for filing Appeal and the fees payable.- (1) Every appeal filed under subsection (1) of section 44 shall be accompanied by a fee of rupees one thousand in the form of a demand draft drawn on a nationalized bank in favour of the Appellate Tribunal and payable at the main branch of that Bank at the station where the seat of the said Appellate Tribunal is situated.

According to above RERA Rules for Union Territories, while filing a complaint against the builder, a flat buyer has to pay a fee of 1,000 rupees only.

But Maharastra RERA Rules say that you have to pay a fee of Rs. 10,000! (Chapter V - Clause 23)

This shows that Maharashtra RERA Rules are not for the protection of the flat buyers but for the protection of the builders.

Mr. Kumbhar feels that the builder lobby must have written these RERA Rules & Maharashtra Government may have just published them.

That's why every citizen must raise objections against Maharashtra RERA Rules by 31st December 2016.

CHAPTER V

FILING OF COMPLAINTS WITH THE AUTHORITY OR THE ADJUTICATING OFFICER

23. Manner of filing a complaint with the regulatory authority and the manner of holding an inquiry by the regulatory authority.-

(1) Any aggrieved person, having interest in the project, may file a complaint with the regulatory authority for any violation under the Act or the rules and regulations made thereunder, save as those provided to be adjudicated by the adjudicating officer, as per Form ‘L’ which shall be accompanied by a fee of rupees Ten Thousand in the form of a demand draft drawn on a nationalized bank in favour of regulatory authority and payable at the main branch of that bank at the station where the seat of the said regulatory authority is situated.

3) If Maharastra RERA Rules are approved as published - builder's complete track record will not be available for the flat buyers:


(vi) brief details of the projects launched by the promoter in the last five years, whether already completed or being developed, as the case may be, including the current status of the said projects, any delay in its completion, details of cases pending, details of type of land and payments pending etc. ____

Most of the buyers who have booked the flats in Kumar Builders' KUL Ecoloch & KUL Nation have told me that they didn't know that Kumar Builders & Kumar Properties are two different companies! They assumed that both are one & the same.

If they had known the history - the past projects - the track record - means about the status of Kumar Builders' previous projects - like KUL Utsav at Khadi Machine Chowk Kondhwa & 45 Nirvana at Paud Phata Kothrud - they would have been able to take a right decision.

Thanks to Maharashtra Government!

Even after RERA, the builders can take the flat buyers for a ride!!

Why?

Because, even after RERA, the flat buyers in Maharashtra are not going to get the complete track record of the builder - complete information about the builder's past projects.

The 'Application for Registration of Project' - 1 - VI - on the Page 23 of Maharashtra RERA Rules - only demands the list of completed or under construction projects in the last 5 years.

Whereas, the RERA Rules of Union Territory demands more than the list of projects. They want to know - including the current status of the said projects, any delay in its completion, details of cases pending, details of type of land and payments pending etc.

Just imagine, how this information about Kumar Builders' past projects would have been valuable to the flat buyers!

1) The flat buyers would have realized that Kumar Builders & Kumar Properties are two different construction companies.

2) If the flat buyers would have known Kumar Builders' - the current status of the said projects, any delay in its completion, details of cases pending, details of type of land and payments pending etc. - they would have been able to take the right decision!

This omission in Maharashtra RERA Rules proves that the real intention of Maharashtra RERA is to give legal authority to the builders to dominate, intimidate & victimize the flat buyers in Maharashtra!

(vi) brief details of the projects launched by the promoter in the last five years, whether already completed or being developed, as the case may be__________________________________;

4) If Maharastra RERA Rules are approved as published - real estate agents can cheat the flat buyers & get away with crime easily:


13. Revocation of Registration of real estate agent.-

The Regulatory Authority may, due to reasons specified under sub-section (7) of section 9, revoke the registration granted to the real estate agent or renewal thereof, as the case may be, and intimate the real estate agent of such revocation as per Form ‘I’.

Maharashtra RERA Rules not only protect the builders but their real estate agents too! In fact, if Maharastra RERA Rules are passed as it is, the real estate agents are going to get a license to cheat the flat buyers in Maharashtra!!

Because, if RERA revokes the license for any misconduct, just after 6 months the real estate agent can apply for it!

Rules of Union Territories - do not give this type of license to the real estate agents. (Page 5)

15. Revocation of Registration of Real Estate Agent.-.

(1) Where any real estate agent who has been granted registration certificate number commits breach of any terms and conditions specified under these rules or regulations made thereunder, or where the Authority is satisfied that such registration has been secured by the real estate agent through misrepresentation or fraud, the Authority may, without prejudice to any other provisions under the Act, either suo-moto or on an application or complaint from the promoter or allottee or revoke the registration or suspend the same for such period as the Authority thinks fit and inform all the promoters: Provided that, no such revocation or suspension of registration shall be made by the Authority unless an opportunity of being heard has been given to the real estate agent.

(2) Where the Authority revokes the registration it shall intimate about the same to the concerned real estate agent in Form ‘I’: Provided that, on the revocation of the registration by the Authority of any real estate agent; fresh application for grant of registration cannot be made again within a period of six months by such real estate agent.



5) If Maharastra RERA Rules are approved as published - the builders can discriminate against flat buyers:



(4) The declaration to be submitted under clause (l) of sub-section (2) of section 4 of the Act, shall be as per Form ‘B’, which shall include a declaration stating that the promoter shall not discriminate against any allottee at the time of allotment of any apartment, plot or building, as the case may be.

If passed as it is, Maharashtra RERA Rules will legalize the builder's passion for discrimination!

'Housing Project for Vegetarians' is not about food habits. We know the real meaning. Right?

By eliminating the above clause about Discrimination present in Union Territory RERA, Maharashtra Government has proved the builders are the real authors of the RERA Rules. Says Mr. Vijay Kumbhar.

That's why it is a duty of every citizen Maharashtra to email his objection against RERA Rules by 31st December 2016.

If you don't have time to study the Maharashtra RERA Rules, the original Real Estate (Regulation and Development) Act 2016 of Central Government of India, and the rules of Real Estate Regulatory Authority (RERA) established in the Union Territories, you can go through Mr. Vijay Kumbhar's objections and email the same at suggesstionsonrera@maharashtra.gov.in - before or on 31st December 2016.

Your children will be proud of you for raising objections against Maharashtra RERA Rules.

Maharashtra RERA Rules in English:




Maharashtra RERA Rules in Marathi:




Union Territories RERA Rules:




Related Story:


2) Maharashtra RERA Rules - A Nightmare for Home Buyers

1) Maharashtra RERA Rules Published!

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8 comments:

  1. Thanks ravi.. for notifying , will do this today itself..

    ReplyDelete
  2. Sir,
    Thank for this actionable blog.

    Requesting you to please draft the formal objection email by removing the informal/dramatic sentences in the above blog and paste it here for quick action by you readers/followers.

    ReplyDelete
    Replies
    1. may be you can take help form below and copy which you support.

      https://vijaykumbhar.blogspot.in/2016/12/suggestions-bjection-on-maharashtra-rera.html

      Delete
  3. So this the way BJP under Fadnavis will fight against corruption by giving more powers to builders... Shame on such laws. How much builders has paid to add all these points, this points should be taken to supreme court

    ReplyDelete
    Replies
    1. Junk-heads who drafted this anti-buyers law & violate central RERA are soon going to loose their pants !

      Delete
  4. Good to see this Ravi - RERA of both, good Central Govt one & third class State Govt one.
    In this useless Maharashtra RERA, I do feel major role was played by Mumbai BJP MLA, Mangal Prabhat Lodha of Lodha builders. Ofcourse, being builder & MLA of ruling party, he will try to protect builders' interest but what surprises is CM like Devendra Fadnavis allowed this kachra draft to be released at first place & it's his credibility which is at stake due to such issues.

    Apart from sending suggestions to "suggesstionsonrera@maharashtra.gov.in", the same needs to be informed to PMO as well. It can be very brief & short to PMO, which can certainly look into the case since State Govt can't dilute Central Govt RERA provisions.
    This is latest news on RERA of Maharashtra -

    Citizens back petition for buyer-friendly RERA rules -

    PUNE: Over 1,000 representatives of societies in Pune gave their views on the state's Real Estate (Regulation and Development) Act (RERA) rules stating that it was "pro-builder". The members and activists said the central rules should be followed and they should favour the buyers.

    The state has sought citizens' views over RERA till December 31. A petition will be sent to chief minister Devendra Fadnavis. President of Pune Grahak Panchayat Vijay Sagar said the petition would highlight the loopholes in the rules before the state government make it an act.

    Activists said the rules were not easily accessible and said the RERA rules in Marathi were made available only on Monday. At present, 100 suggestions and objections have come in.

    http://timesofindia.indiatimes.com/city/pune/Citizens-back-petition-for-buyer-friendly-RERA-rules/articleshow/56227106.cms

    Lashkar-e-CREDAI, Pune metro is also going to approach state Govt on this issue as per crook builder Gera !

    And coming back to other news, several major builders have laid off atleast 25% of their workforce. This is another example of coming crash in property market.

    ReplyDelete
  5. Sir,

    Thank you and Vijay Sir for this awareness.. I've immediately tweeted this to Devendra Fadnavis sir and gave reference to your blog to bring this to his notice.. I hope he is a nice person and may read my tweet and take some actions.. If not then it is true that even BJP and our Maharasthra state govt. is in favor of builders lobby and not to the flat buyers who vote them to victory to make changes so that a comman man can be benefited from.. lets hope for the best..

    ReplyDelete
  6. After receiving flak, state to devise buyer-friendly real estate rules -

    After receiving flak for diluting the Real Estate (Regulation and Development) Act (RERA) to favour builders, the state government is all set to amend the draft rules in an effort to make it more consumerfriendly. The changes, which will be published some time after the elections, are based on the 550 suggestions and objections it received on the draft rules from individuals and consumer rights groups.

    http://mumbaimirror.indiatimes.com/mumbai/other/after-receiving-flak-state-to-devise-buyer-friendly-real-estate-rules/articleshow/57104184.cms

    So more sleepless nights for third class, sadak chap builders.

    ReplyDelete