HYDERABAD: The Telangana Real Estate Regulatory Authority (TG RERA) imposed a penalty of Rs 6.58 lakh on a builder for marketing and selling villas at Isnapur in Patancheru without registering the housing project with the authority.
TG RERA also directed the developer, Maha Homes, to form an association of allottees, hand over necessary project ‘Maha Homes-Muthyam’ documents and instal fire extinguishing systems immediately.
TG RERA heard a complaint of Suresh Reddy and others, who alleged that the constructed apartments deviated from HMDA-approved plans. They also alleged that the developer assured a drinking water connection but failed to provide one despite collecting Rs 45,000 from them.
The project was not registered with TG RERA despite the developer’s promise to complete it by March 31, 2021. An occupancy certificate was issued by HMDA on April 11, 2022, but the project completion certificate remains pending.
Another issue highlighted was the proximity of the water tank for the Muthyam block to the septic tank of the adjacent Madhuram block, causing contamination and posing health risks. Additionally, fire safety measures were not implemented, leading to a fire accident on the fifth floor. The terrace lacked a rainwater harvesting system, the buyers alleged.
However, the developer claimed that the construction, initiated in 2019, was completed in line with HMDA permissions and that TG RERA registration was not mandatory at that time. Delays in completion were attributed to labour shortage and pandemic-related curbs in 2021-22. The developer further clarified that the completion certificate was issued by the project architect.
After reviewing the submissions, TG RERA found the developer in violation of section 3 of the Real Estate (Regulation and Development) Act for marketing and selling properties.
Apart from imposing the fine, TG RERA asked the developer to refund Rs 13,175 to the association and lay a black topped road inside the venture.