Now Reading: Karnataka RERA sets recovery process as only 10% of dues recovered
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Karnataka RERA sets recovery process as only 10% of dues recovered
Karnataka RERA sets recovery process as only 10% of dues recovered
Karnataka’s real estate regulator has issued a new procedure to speed up recovery from builders who fail to comply with its orders. The Hindu reports that RERA-K’s July 28 circular activates Section…
The Story in Brief
Karnataka’s real estate regulator has issued a new procedure to speed up recovery from builders who fail to comply with its orders. The Hindu reports that RERA-K’s July 28 circular activates Section 40(2) of the 2016 RERA Act, allowing orders to be enforced like civil court decrees. Of 2,556 Revenue Recovery Certificates worth Rs 1,214.32 crore, 329 worth Rs 123.84 crore have been recovered. A total of 2,227 certificates, involving Rs 1,090.48 crore, remain pending.
Under the procedure, builders get several opportunities to comply or respond before they must disclose assets. Property and bank accounts may then be attached and auctioned. The State has appointed Special Deputy Commissioner Jayamadhava P. to oversee recoveries in Bengaluru, and is developing software and a portal. Officials expect implementation within 3.5 months, with homebuyers able to track progress.
The Indian Opinion
The easy claim that a circular alone will solve stalled homebuyer cases should be treated cautiously. The stronger claim that RERA has no enforcement power is also outdated, since Section 40(2) provides a route that is now being operationalised. The real test is execution: can Bengaluru recover more than the current Rs 123.84 crore without fresh procedural delays, and how many of the 2,227 pending certificates move within 3.5 months?
Source: thehindu.com
This story was synthesised by AI from the source linked above.
