Haryana RERA dilution: Homebuyers to approach consumer forum

Updated: August 10, 2017 6:40 AM

In a bid to protect their interests against the ‘diluted’ rules of the Haryana Real Estate (Regulation and Development) Act, some homebuyers from the state are planning to approach the National Consumer Disputes Redressal Commission (NCDRC).

The Haryana government has diluted the Central government rules with regard to the definition of an ongoing project. (Reuters)

In a bid to protect their interests against the ‘diluted’ rules of the Haryana Real Estate (Regulation and Development) Act, some homebuyers from the state are planning to approach the National Consumer Disputes Redressal Commission (NCDRC). “Now that they (the state government) have exempted many projects from RERA, we will approach the NCDRC,” Gaurav Prakash, a Gurgaon-based home buyer, said.

Prakash is part of a group of homebuyers who have come together to oppose the draft rules of Haryana RERA. These residents are connected under a group called #UndilutedRERA on Facebook, Twitter and other social media and messaging platforms.

The NCDRC is a quasi-judicial commission in India set up in 1988 under the Consumer Protection Act of 1986. Currently, a total of 13,702 cases are pending with the commission. A lot of homebuyers in Gurgaon have expressed concerns over ‘dilution’ of the Central Act. They alleged that the state Act, meant as a tool to safeguard interests of homebuyers, has ended up being in favour of developers.

The Haryana government has diluted the Central government rules with regard to the definition of an ongoing project. The state has allowed a builder to be exempt from the purview of RERA even if he had applied for a licence or received a part-completion certificate before the Act is notified. This means builders who do not complete projects and leave homebuyers in the lurch cannot be penalised as per RERA guidelines. By exempting projects for which an application for completion or occupation certificate (CC/OC) has been made on or before the rules are notified, Haryana has taken a lenient attitude towards builders.

The homebuyers are also planning to challenge the state government. “We are planning to challenge the Haryana government for dilution of the Act. We will go to the high court and even the Supreme Court for this… Currently, we are assessing the situation,” Prakash added.

In May, minister of state for urban development and housing Rao Inderjit Singh had pointed out that certain provisions of the draft real estate regulation rules put out by the Haryana government are not in consonance with the ‘letter and spirit’ of the parent Act, and such provisions would be open to ‘legal challenge’.

Abhay Upadhyay, national convener of Fight for RERA, said they will also start a pan-India movement. “But before going ahead with anything there needs to be a proper implementation of the Act,” he added.

Surbhi Prasad

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