Karnataka RERA Struggles to Recover Rs 486 Crore in Penalties from Builders

Karnataka RERA Struggles to Recover Rs 486 Crore in Penalties from Builders

Karnataka RERA Struggles to Recover Rs 486 Crore in Penalties from Builders

Karnataka RERA Struggles to Recover Rs 486 Crore in Penalties from Builders

In a concerning revelation, the Karnataka Real Estate Regulatory Authority (K-RERA) is grappling with the task of reclaiming a staggering sum of Rs 486 crore in penalties from builders who have flouted its directives. Despite being in force for seven years, K-RERA's efforts in penalizing errant builders seem to have hit a roadblock, leaving numerous complaints unresolved.

Since its inception, K-RERA has levied penalties in 1,248 cases amounting to Rs 547.31 crore. However, only a fraction of this amount, Rs 60.64 crore, has been successfully collected from 138 cases. Alarmingly, a substantial sum of Rs 486.68 crore remains outstanding from 1,110 pending cases, indicating a significant lapse in enforcement measures.

Expressing dismay over the situation, a concerned citizen highlighted the plight faced by homebuyers, who often find themselves trapped in a cycle of unfulfilled promises and financial strain due to delays in property delivery. Despite seeking recourse through K-RERA, many buyers lament the lack of responsiveness from builders, exacerbating their predicament.

Moreover, aggrieved parties point out that despite K-RERA's issuance of orders years ago, little progress has been made in recovering dues from defaulting builders. Legal hurdles further complicate matters, with builders obtaining stay orders from courts, stalling the execution of K-RERA's directives. For instance, a prominent builder embroiled in a dispute involving Rs 90 crore has resorted to legal recourse, prolonging the resolution process.

The Real Estate Regulation and Development (RERA) Act, 2016, hailed as a landmark legislation, aimed to overhaul the real estate sector in India, fostering transparency, accountability, and financial prudence. However, the challenges faced by K-RERA underscore the persistent issues plaguing the industry, necessitating more stringent enforcement mechanisms to safeguard the interests of consumers.

Despite the setbacks, citizens remain hopeful that K-RERA will play a pivotal role in addressing grievances and holding errant builders accountable. The establishment of K-RERA has brought a glimmer of hope to countless individuals who have fallen victim to deceitful practices, reaffirming the need for robust regulatory frameworks to ensure the integrity of the real estate sector.

 

 

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