BENGALURU: The chairman of the Real Estate Regulatory Authority (RERA), Karnataka, Kapil Mohan, on Saturday called upon developers to register their projects with it or face harsh consequences.
Taking part in a discussion on the ‘Impact of new legislation on business and industry’ organised at the Federation of Karnataka Chamber of Commerce and Industry, the officer said penalty for non-registration will be heavy. “It could be as much as 10 per cent of the project cost. It could even put your survival, as an economic entity, in jeopardy, “ he said.
Stressing that RERA did not have any registration targets, he called upon builders to register their properties in their own interest. Kapil Mohan, who is also Principal Secretary to the Housing Department, said a model ‘’Agreement of Sale’’ was being readied by RERA. “It will be made public next week,” he added.
Later, to a question by a member of the audience, Annapoorna, as to whether the same 10 per cent penalty will be imposed if a developer who has ongoing projects voluntarily registers with RERA (without receiving any penalty notice) , Mohan said, “Some discretion is possible in such cases.”
To another question from the audience on the manner in which RERA will help consumers in general, he said it will ensure property buyers get the property as well as compensation in case of delay in delivery of the completed flat or house. “An adjudicating officer, who is a judge, will decide on it legally,” he said.
Pointing out that the RERA office was hand-holding promoters at this stage to help them register, Mohan said a list of 25 projects that are faulty have been highlighted on the portal. “The projects highlighted almost have no hope,” he added.