Scrapping the Urban Land Ceiling Act as well as restrictive rent-control regulations in Maharashtra alone will go a long way towards forcing a reality check; the Congress party can surely prod the state leadership into action. The Securities & Exchange Board of India (Sebi) also needs to initiate quick action to protect ordinary investors, as disclosures alone are inadequate. Sebis own clarifications suggest that ordinary investors wont be able to assess land holding and valuation claims in the prospectus of property firms, not to mention the damaging consequences of protracted litigationa big risk factor for Indias developers. Further, the demolition drive in Delhi shows that even large companies and accounting firms dont have the expertise to evaluate the validity of developers claims. With 80 to 100 realty firms planning to raise nearly $4 billion in the coming months, Sebi must quickly introduce IPO gradings in order to weed out dubious issues and ensure that prospectuses are fully vetted by independent experts. The efficacy of the grading process has been established by an 11-company pilot project. Although realty firms and their investment bankers will lobby against the move, Sebi must remember that investor protection is its primary mandate.