RERA Gurugram Imposes Rs 1.5 Cr Penalty on 1000 Trees Housing for Non-registration of Project

Gurugram / August 2024: The Real Estate Regulatory Authority (RERA) of Gurugram has imposed a penalty of Rs 1.5 crore on 1000 Trees Housing Private Limited for not registering its project even after the lapse of twelve years since obtaining the licence from the department of town and country planning, Haryana. In violation of the Real Estate (Regulation and Development) Act 2016, the company created third-party rights without registering the project.

As per the Act 2016, after obtaining the licence from the competent authority, it is mandatory for a promoter to register its project with the RERA before creating third party rights and advertisements. The Authority, however, has approved the project in principle subject to payment of late fees and the penalty for violation of the Act.

The Authority acted after scrutiny of the application of the promoter seeking registration of the project to complete construction and handover units to homebuyers. The scrutiny revealed it was still an ongoing project in which the promoter had created third-party rights by selling units to homebuyers without obtaining the RERA registration.

“A penalty of Rs 1.5 crore is also imposed under Section 59 of the Act for non-registration of the ongoing project,” said the RERA order.  

The Authority earlier had sent a show cause notice to the promoter.

“You don’t have a completion/occupation/part occupation certificate for the project, therefore, your project is not saved under Section 3(2) of the Act 2016 and Haryana Real Estate Rules,” said the Authority.

1000 Trees Housing Private Limited is developing a group housing project named Sanctuary 105 at Sector 105, Gurugram.