TGRERA bars developer from selling flats, orders Rs 15L refund, ETRealty


HYDERABAD: Telangana Real Estate Regulatory Authority (TGRERA) has restrained a property developer from advertising, marketing, booking or selling units or collecting further payments for its ‘Jai Vasavis ORR Heights’ project until further orders. It also directed the developer to refund ₹14.9 lakh to complainant Chilakalapudi Venkateshwara Rao, with 10.7% annual interest calculated from the respective payment dates, within 60 days of receiving the order.

The order was passed on a complaint filed by Rao, a resident of Ghatkesar, on June 22 against the developer and others associated with the project.

Buyer alleged false claims over approvals

Rao said he invested in a residential apartment for his family after being influenced by advertisements, pre-launch offers, brochures, celebrity promotions and representations made by marketing agents. He alleged that the respondents claimed the project had the required approvals and circulated through a WhatsApp group a PDF purportedly showing RERA approval.

According to the complaint, the developer had conducted ‘bhumi puja’ at the site on April 21, 2022, though it executed an agreement of sale-cum-general power of attorney with the landowners only on May 17, 2022. The complainant alleged that promotional material connected with the ceremony created the impression that the company had lawful rights over the land and could proceed with development.

He further claimed that the approval document circulated in the WhatsApp group was later removed. The complaint stated that actual RERA registration was obtained only on Sept 23, 2023, after the developer had advertised the project, accepted bookings, executed agreements and collected payments.

Rao, who had initially invested in Jai Vasavis Bliss Heights, said he was later shifted to ‘Jai Vasavis ORR Heights’ due to lack of construction progress. He also submitted an investment agreement signed on Feb 18, 2022, which provided for completion within 30 months, with a six-month grace period and rental compensation of ₹6,000 a month in case of delay.

Penalty proceedings, revocation notice ordered

Exercising its powers under Sections 37 and 38 of the Real Estate Act, TGRERA restrained further transactions in the project.

It directed its secretary to initiate penalty proceedings under Sections 59 and 60 for alleged violations of Sections 3 and 13 within 15 days, subject to the authority’s approval. A show-cause notice must also be issued within seven days, asking why the project registration should not be revoked under Section 7.

The authority cited pre-registration marketing and collection of consideration, lack of substantial construction, absence of occupancy or completion certificates, and failure to submit quarterly progress reports and mandatory financial disclosures. It also referred to its Sept 18, 2025 interim order keeping the registration in abeyance.

  • Published On Jun 26, 2026 at 09:33 AM IST

Join the community of 2M+ industry professionals.

Subscribe to Newsletter to get latest insights & analysis in your inbox.

All about ETRealty industry right on your smartphone!






Source link

Join The Discussion

Compare listings

Compare