BiharRERA fines CreastateInfrahomes for not registering its housing project

The Real Estate Regulatory Authority (RERA) Bihar on Monday imposed Rs10 lakh fine on a real estate company for promoting its housing project without registering it with the regulatory body. The company has to pay the fine within 60 days of the order date for violating the Real Estate (Regulation and Development) Act, 2016. RERA Bihar bench of RajivaBhushan Sinha and Subodh Kumar Sinha took suomotu cognizance of the alleged irregularities by Patna-based CreastateInfrahomes Private Limited, Anisabad. They said the 1% penalty was imposed only on its Creastate Silicon City project, which has an estimated cost of about Rs10 crore. The authorities also directed the company’s director to apply for registration of their ongoing projects with RERA within 30 days of the order. The RERA also issued notices to the company in July for non-compliance of Section 3 of the Act by not registering its two projects — Creastate Green City and Creastate Silicon City. The notices stated that the company continuously advertised their projects and made bookings. In response to the notices, the company claimed the Creastate Green City was not its project and the documentation process of another one was still underway. When the RERA members pointed out that both the projects were advertised on its official website and social media, the company failed to give any convincing response. The RERA judgment stated that the company had given false information to the authorities in its replies during hearing. It further stated that the company violated Section 3 of the RERA Act by advertising the project and making bookings against the plots of land without registering the project with the authority. The RERA Bihar recently asked the builders, promoters and developers who have registered their projects and applied for the registration to submit the financial statements of 2017-18 projects duly audited by a chartered accountant. The authority directed the real estate promoters, developers and builders to submit their financial statements by December 31.