Bhubaneswar: Odisha Real Estate Regulatory Authority (ORERA) has imposed a penalty of Rs 50 lakh on a Cuttack-based realtor for allegedly violating legal provisions.
The fine was imposed after it was found that the realter had flouted the provisions of Odisha Real Estate (Regulation and Development) Act, 2016, sources said.
After initiating suo motu proceedings and conducting hearing, ORERA ascertained that the realtor had advertised its plotted scheme and a housing project in Barang area without the RERA registration and requisite approvals from the competent authority, TOI reported.
The realtor has developed the plotted project as well as floated advertisement for sale of plots through hoarding on their website in order to attract the intending buyers to purchase the plots or residential houses without obtaining approval from the Cuttack Development Authority (CDA),” the proceedings read.
The developer has also not obtained registration certificate from ORERA, which constitutes a clear violation of Section 3 of the RERA Act and is punishable under Section 59 of the Act.
During the hearing, the counsel for the realtor asserted they had obtained permission from the CDA and registered their plots in the sub-registrar’s office in Barang and was in the process of obtaining the registration certificate from ORERA.
However, as per regulations, without obtaining registration certificate from ORERA, no one should advertise or attempt to sell any plot or group of residential houses. ORERA rejected the arguments and directed the realtor to pay the fine and also obtain the registration certificate within two months.
ORERA had deployed its enforcement officer to inspect the project site where it was found the realtor was developing 100 duplexes and selling 253 plots which collectively cost Rs 202.51 crore.