Answer By law4u team
Under the Real Estate (Regulation and Development) Act (RERA), penalties are imposed on promoters, agents, or buyers for non-compliance with the provisions of the Act to ensure transparency and accountability in the real estate sector.
Penalties for Non-Compliance under RERA:
- For Promoters:
- Non-Registration of Project: Up to 10% of the project's estimated cost.
- Violation of Orders: If the promoter fails to comply with the orders or directions of the RERA authority, a penalty of up to 5% of the project's estimated cost can be imposed.
- Continued Violation: For non-compliance with Appellate Tribunal orders, imprisonment up to 3 years or a fine, or both.
- For Real Estate Agents:
- Non-Registration: Penalty of ₹10,000 per day during the default period, extending up to 5% of the property’s cost.
- Failure to Comply with Orders: Fine up to 5% of the property’s estimated cost.
- For Allottees (Buyers):
- Violation of Tribunal Orders: Penalty up to 5% of the property's estimated cost for non-compliance with the Appellate Tribunal's orders.
- General Penalties:
- False Information: Providing false information can lead to penalties up to 5% of the property’s estimated cost.
Summary: RERA imposes strict penalties on promoters, agents, and buyers for non-compliance, including fines, imprisonment, and project cost penalties, ensuring adherence to the Act.
