Orissa HC Seeks Report From ORERA, State Govt On Relief To Buyers For Delayed Flat Delivery

Cuttack: The Orissa High Court has sought status report from Odisha Real Estate Regulatory Authority (ORERA) and the state government on 62 complaints of home buyers in which orders for recovery of money passed by the real estate panel were not adhered to by builders in many cases.

The HC directive came while hearing a PIL seeking intervention against ORERA’s declining influence on execution of its orders related to disputes over realisation of interest on money deposited in case of delayed delivery in possession and handover of a flat to a consumer.

Bhubaneswar-based flat owner Bimalendu Pradhan had filed the petition on the basis of information obtained through RTI on execution and enforcement by ORERA. Advocate Mohit Agarwal argued on behalf of the petitioner, sources said.

The HC sought the status report after observing that the counter affidavits filed by ORERA and the state government showed several cases in which execution orders were issued and were sent either to the collector or the civil court.

The government had stated in its affidavit that ORERA had disposed of 152 cases and of them 62 related to the recovery of money have been sent either to the collector – the authority under the Odisha Public Demand Recoery (OPDR) Act, 1962, or the civil court.

The two-judge bench of Chief Justice S Muriladhar and Justice M S Raman said it is not indicated whether in any of the cases the money was actually recovered. Unless the ORERA is able to indicate how many of the orders have actually been implemented, it will not be possible for the court to evaluate whether the procedures outlined for execution of the orders of ORERA are effective or not, the bench said.

In order to ensure that the RERA Act serves the purpose for which it was enacted, it will be necessary for the ORERA to be proactive to ensure that the mechanism, put in place for execution of its orders actually works, and recoveries are able to be effected, it observed.

The bench posted the matter to May 10 for further consideration, while fixing May 1 as deadline for filing of the supplementary affidavits.