UPRERA To Ask banks, FIs To Provide Account Details Of Real Estate Projects, Maps Of Realty Projects To Be Superimposed With Revenue Maps

Greater Noida, Sep 1, 2023: Uttar Pradesh Real Estate Regulatory Authority, UPRERA will ask banks and financial institutions to provide the bank account details of real estate projects. This will be apart from the promoters’ obligation to provide these details.

Addressing newspersons at its Greater Noida office, the newly appointed UPRERA Chairman Sanjay Bhoosreddy, said that the developers will have to give standing advice to the banks to deduct 70 per cent of the funds from the projects’ collection account and transfer them to a separate account. Banks will give details of these accounts to UPRERA. “Developers will have to submit a certified copy of this document to the UPRERA at the time of registration of the projects. The Authority, in turn, will verify this from the concerned banks/FIs while considering the registration of the projects”, Bhoosreddy said. 

Once brought into practice, this will also make it the responsibility of the banks and FIs to provide all information about the bank accounts opened for the real estate projects. The guidelines will soon be directed to the SLBC, State Level Bankers’ Committee.

Under the standard procedure of the UPRERA, the promoter has to open three bank accounts for a project: Collection Account, Separate Account (Project Account), and Expenditure Account. Under the existing arrangement, these bank accounts’ details are uploaded on the RERA website by the respective promoters. 

UPRERA found that many promoters have not updated the details of all three accounts on the portal, hence this new guideline has been formulated. 

The UPRERA also informed about the formation of a special cell for studying Quarterly Project Reports, QPRs submitted by the promoters of real estate projects and action will be taken in case there is any violation or non-compliance. 

UPRERA also informed about its one more initiative, whereby, the digitised maps of the revenue department and the of the projects will be superimposed. This will enable to curb illegal constructions. “After this, it will be impossible for the promoter to make any changes to the original and approved map of the project”, said the URERA Chief.

The phase I of this process will be implemented in 13 major cities with GIS-based master plans. Using the technique of remote sensing, the maps of the projects will be superimposed on the maps of the revenue department.