UP RERA Cracks Down on Promoters Defaulting on Annual Project Audit Reports
Lucknow/ Gautam Buddh Nagar, June 28, 2026: The Uttar Pradesh Real Estate Regulatory Authority (UP RERA) has taken serious note of non-compliance by several real estate promoters who have failed to file their Annual Audit Reports for the financial year 2024-25. The regulatory body has identified 76 projects where promoters have completely failed to upload these mandatory financial reports onto its official web portal, UP RERA said in a press release.
Under current RERA regulations, it is mandatory for promoters to get their project accounts audited by an independent, external auditor at the end of each financial year. To ensure transparency, this auditor must not belong to the promoter’s group or any associated entities. The completed audit report must be uploaded to the UP RERA website within six months from the end of the financial year for official appraisal and to keep the general public, including project allottees, fully informed. While missing the deadline initially attracts a late fee of ₹25,000, violating Section-4 and its corresponding provisions can lead to heavy penalties of up to 5 percent of the total estimated cost of the project.
A cross-section of both public and private entities has been identified among the top defaulters. Promoters with multiple non-compliant projects include Swekreti Residency LLP for its Vedansha Greens 1, 2, and 3 projects, as well as IT Infrastructure Park Private Limited for phases of The Flagship. Government bodies have also defaulted, including the Gorakhpur Industrial Development Authority, the Gorakhpur Development Authority, and the Mathura-Vrindavan Development Authority, all of which failed to file audits for prominent local commercial and residential schemes.
Cost-wise, some of the state’s largest real estate developments are on the defaulter list. High-profile projects under scrutiny include VVIP Addresses Greater Noida (West) by Vibhor Vaibhav Infrahome Pvt. Ltd., CRC Maesta by CRC Homes Private Limited, Central Ikon by Business Bay Fin Infra Private Limited, and Ace Estate by Logix Buildestate Pvt. Ltd., all located in the Gautam Buddha Nagar district. Other major non-compliant projects include Metro Suites Bellavie in Ghaziabad and Migsun Lucknow Central in Lucknow.
In response to these lapses, UP RERA has issued strict show-cause notices to all defaulting promoters. The authority highlighted that non-filing runs directly contrary to the RERA Act’s core purpose of enhancing developer accountability. The affected promoters have been given a strict 15-day window to upload their missing annual audit reports and pay the prescribed late fees. Failure to comply within this period will result in the authority imposing the harsher 5 percent project-cost penalty.
UPRERA reiterated that timely reporting is not a mere procedural formality, but a critical mechanism to protect homebuyers. Making authentic, audited project data readily available online allows the authority and the general public to monitor actual financial progress and ensures that promoters remain tethered to their legal responsibilities.
Emphasizing the authority’s stance, Chairman of UP RERA, Sanjay Bhoosreddy, warned that compliance is non-negotiable. “Timely submission of annual audit reports is a fundamental responsibility of every promoter under RERA. Independent audit and accurate reporting strengthen transparency and build confidence among homebuyers. UPRERA will continue to ensure strict compliance of these provisions so that the interests of allottees remain protected and the real estate sector of the state develops with greater accountability and trust,” Bhoosreddy said.
