UP-RERA penalizes Rs. 14.41 crore for Ansal Properties for violating RERA regulations

Ansal Properties and Infrastructure has been fined Rs. 14.41 crore by the Uttar Pradesh Real Estate Regulatory Authority (UP-RERA) for executing 329 sale deeds in various unregistered pockets of Sushant Golf City, Lucknow, between March 26, 2022, and August 14, 2024, in violation of Section 3 of the RERA Act.

For breaking Section 3 of the RERA Act, the promoter received a show-cause notice from the authority. Nevertheless, in spite of several extensions, the promoter did not reply or follow the notices. As such, in the authority's 161st meeting, the promoter was given the chance to have a personal hearing.

The promoter asked for extra time during the hearing to submit a response, and they were given 15 days. They have presented a written response, signed by the Deputy Managing Director, at the authority's 162nd meeting. The promoter sent out six notices, but instead of answering each one separately, it sent out a single, comprehensive response. The records were carefully scrutinized, and the promoter and their legal representative were given a full hearing.

It was concluded that the response given was not legally valid and that the promoter had in fact broken section 3 of the RERA Act by carrying out sales in the unregistered pockets after carefully examining the written statements and oral arguments made by the promoter.

After careful consideration, the authority levied a fine in accordance with RERA Act section 59(1). The penalty was determined to be Rs. 14,40,90,000, or 10% of the estimated cost of the sales in these unregistered pockets.