THIRUVANANTHAPURAM: The Kerala Real Estate Regulatory Authority (K-RERA) has asked local self-governments (LSGs) to act against illegal plot development projects. The LSGs should issue stop memos to such projects and alert K-RERA.
The state government’s building rules mandate development permits from the LSG for all plot development projects. Projects exceeding 500 sq m should obtain registration from K-RERA, in addition to the LSG’s permit. K-RERA chairman P H Kurian said the authority conducted awareness programmes for LSG officers on the rules. Workshops were held in different parts of the state.
“Illegal plot development is rampant in the state. Several cases have been registered. Some of them were filed by customers who invested in unregistered projects. Others were registered suo motu cases based on advertisements in various media,” he said. The penalty for illegal plot development is a fine up to 10 per cent of the project cost. “Most of them were ignorant of the rules. So, the authority did not levy a maximum penalty from them. But the leniency cannot be continued for long,” he said.
Customers who invest in projects that do not have the approval of LSG and K-RERA will find it difficult to seek legal remedy for breach of promise by the developer. The K-RERA can hear the petition only after coercing the builder to obtain registration. This may take time. Promoters who do not have ownership of the project land should enter into a registered joint development agreement with the land owner.