Under the Real Estate (Regulation and Development) Act, 2016 (RERA), the regulatory framework is designed to ensure accountability and transparency in the real estate sector. RERA addresses non-compliance by real estate developers through a combination of penalties, corrective actions, and legal recourse. The key provisions for handling cases of non-compliance are: Registration and Timely Completion: Developers are required to register their projects with the RERA before advertising or selling. If a developer fails to register, they can face penalties. If a developer does not complete or deliver the project on time, they can be penalized and must compensate homebuyers. The completion date is legally binding, and delays can lead to claims for compensation. Penalties for Non-Compliance: Failure to Register a Project: If a developer does not register the project, they can face a penalty of up to 10% of the estimated project cost. Non-Completion of the Project on Time: If the developer fails to complete or deliver the project as per the agreed schedule, they must compensate buyers by paying interest at a rate specified by RERA (typically 2% above the State Bank of India’s highest marginal cost of lending rate). Violation of RERA Provisions: If a developer violates the terms of the registered project (e.g., not adhering to promises made in the project brochure or agreement), penalties can be imposed. These may include fines or imprisonment for up to 3 years. Defects Liability: Developers are liable for structural defects, poor construction quality, or poor workmanship for a period of five years from possession. If a defect is found, the developer must repair it at no cost to the buyer or provide a refund. Adherence to Sale Agreements: Developers must comply with the terms of the sale agreement with the buyer. If there is any breach, such as failing to deliver the promised amenities or violating the specifications, the buyer can approach RERA or the consumer court for redressal. Complaint Redressal Mechanism: RERA Appellate Tribunal: If a developer or homebuyer is aggrieved by a decision of the RERA, they can appeal to the RERA Appellate Tribunal. This body has the power to review, modify, or set aside RERA’s decisions. Dispute Resolution: RERA encourages out-of-court settlement through mediation. However, if mediation fails, the aggrieved party can approach the RERA tribunal for resolution. Suspension of Developer’s Registration: RERA has the power to suspend or cancel the registration of a developer for serious violations. If a developer is found guilty of non-compliance or fraudulent practices, their ability to operate can be revoked. Transparency and Accountability: Developers must upload project details on the RERA portal, including approvals, status updates, and financial information, to ensure transparency. Non-compliance in providing such information can result in penalties or regulatory action. Consumer Protection: If a developer does not fulfill their obligations (e.g., failing to deliver possession or violating the agreement), buyers can approach RERA for compensation, and RERA has the authority to order refunds or compensation to the affected parties. In summary, RERA ensures that developers adhere to their commitments regarding registration, construction, possession, and delivery. Non-compliance is met with strict penalties, including fines, suspension, or cancellation of registration, and the law provides multiple avenues for buyers to seek redressal.