MahaRERA Flags 212 Projects for Missing Construction Updates, Raising Concerns

The Maharashtra Real Estate Regulatory Authority (MahaRERA) has flagged 212 projects launched between January and April 2023 for failing to update the regulator on their construction status, raising concerns about their progress and the potential risk to homebuyers due to delays and lack of compliance.

Under MahaRERA's regulations, all projects must submit quarterly progress reports in a specified format. The regulator stated that these 212 projects failed to provide any information on their construction status, casting doubt on their adherence to timelines and regulatory obligations. In a statement, MahaRERA emphasized, "It is evident that these developers are not taking their projects and regulations seriously, as required. This negligence in fulfilling compliance and commitments towards homebuyers poses a significant risk." To protect homebuyers and warn them about potential risks, MahaRERA published a district-wise list of these projects on its website.

Pune has the highest number of flagged projects at 47, followed by Nashik and Palghar with 23 each. Thane has 19 such projects, Raigad has 17, Sambhaji Nagar has 13, and Nagpur has 8. The Mumbai Metropolitan Region and the Konkan region together have 76 such projects, with North Maharashtra having 31, Vidarbha 21, and Marathwada 20.

Developers are required to submit quarterly and annual statements to MahaRERA to ensure regular monitoring of construction progress, financial expenditures, and other critical aspects of the project. This also allows homebuyers to access relevant information about projects they have invested in or are considering investing in. MahaRERA has the authority to suspend projects and freeze their bank accounts if they do not comply with these requirements.

Among the projects registered with MahaRERA between January and April 2023, 886 did not submit Quarterly Progress Reports. Following this, notices were issued to these projects, providing a 30-day window for rectification. Despite this, 244 projects failed to update their reports even after paying penalties. Efforts are ongoing to ensure these projects comply with the requirements, with MahaRERA warning of further action if needed.

Out of the total flagged projects, 60 were registered in January 2023, 58 in February 2023, 40 in March 2023, and 56 in April 2023. MahaRERA's continued enforcement actions highlight its commitment to ensuring compliance and protecting the interests of homebuyers.

HBL