BHUBANESWAR: Days after Orissa High Court raised concern over registration of sale deeds of apartments without adequate compliance to the Real Estate (Regulation and Development) (RERA) Act - 2016, the practice has been stopped by the Inspector General of Registration (IGR) from Wednesday.
The IGR under Board of Revenue, Odisha has asked all registering officers in the State to refuse to register an instrument for transfer of immovable property, the alienation or transfer of which is prohibited by the State or Centre.
“With the RERA Act mandating transfer of common areas in favour of the Association of Apartment Owners, sale deeds presented for registration which contain clauses contrary to it cannot be executed and be refused under section 22-A of the Registration Act - 1908,” stated IGR Jyotiprakash Das in his letter to the officials.
Das also asked the officials to strictly comply with the interim order of the High Court issued on May 12 in which the court had asked IGR to strictly enforce the section 22-A of the Registration Act and ensure that sale deeds registered hereafter strictly abide by the provisions of the RERA Act and rules made thereunder.
The move, meanwhile, is likely to have huge financial implications on the State exchequer as the government had been earning hundreds of crores every year from registration of sale deeds of immovable property with the real estate sector contributing a sizeable amount to it.
RERA activist Bimalendu Pradhan, who had filed a PIL in the HC in this regard, said the delay on part of the State government to bring any suitable law for registration of Association of Allottees in line with the provisions of RERA has led to this situation.
Pradhan also said that Association of Allottees and transfer of the land along with the common area is only a part of the problem.
“The planning authorities are also required to issue occupancy certificates in a timely manner. Otherwise, this will also hamper the registration of sale deeds. In such situation the sub-registrars will also remain helpless,” he said.