Gurugram RERA Imposes ₹50 Lakh Penalty on Birla Estates Pvt Ltd Over Upcoming Project

Gurugram, February 17, 2025: The Real Estate Regulatory (RERA) Authority, Gurugram, has imposed a penalty of INR 50 Lakh on real estate promoter M/s Birla Estates Private Limited for violation of Section 3 of the Real Estate (Regulation and Development) Act 2016. Section 3 of the Act states that no promoter shall advertise without registering the project.

The promoter had applied for the registration of its upcoming real estate group housing colony namely Birla Akira located at Sector 31 and 32-A, Gurguram under Section 4 of the RERA Act 2016. The advertisement was published by the promoter while documents of the project were still under scrutiny at the Authority and registration certificate was awaited.

The Authority order said, “The registration certificate (RC) shall be issued after submission of remaining deficiencies, online DPI and deposit of Rs 50 lakh penalty for violation of Section 3 of the Act, 2016.”

The Authority repeatedly warned the promoter of legal consequences and had issued a show cause notice to the promoter for violation of the Act. “The promoter M/s Birla Estates Pvt Ltd is again advised not to indulge in or allow any other entity for sale of units in unregistered projects failing which legal consequences shall follow,” said the Authority order.

Birla Estates, on the other hand, has clarified that no advertisement for the project has been published by the company. The company has reaffirmed its position before the RERA authority and has submitted its official response. Additionally, a police complaint has been filed, necessary actions have been taken to block unauthorized websites and public notices have been issued to caution the public against unauthorised advertisements. “As a responsible real estate developer, Birla Estates is committed to upholding the highest standards of transparency and integrity. We adhere strictly to all RERA regulations and remain dedicated to ensuring compliance with all legal and regulatory requirements,” said K.T. Jithendran from Birla Estates.

The Authority also penalized Godrej Developers & Properties LLP, Signature Global Homes Private Limited, Shine Buildcon Pvt Ltd and AMB Infraventures Pvt Ltd for non-compliance of timeline provided under Section 4(2)(l)(C) of the Act 2016 of INR 25 Lakh each.

It is worth noting Section 4(2)(l)(C) of the Act clearly states that the promoter shall abide by its declarations.

For non-compliance of RERA registration conditions, the Authority also ordered the forfeiture of security deposits of six promoters such as M/s 1000 Trees Housing Pvt Ltd, M/s Keystone World Pvt Ltd, M/s JMK Holdings Pvt Ltd, M/s TARC Ltd, M/s Mapsko Builders Pvt Ltd and M/s Aviana Green Estates Pvt Ltd totalling an amount of INR 2.25 crore

HARERA Gurugram is committed to protecting the interests of homebuyers and ensuring the timely completion of real estate projects. The authority will continue to take strict action against developers who fail to meet their obligations under the RERA Act.