Under the new realty act, every promoter of a registered real estate project is required to file annual reports within six months after the end of every financial year, failing which developers attract penalty.
AHMEDABAD: As many as 448 real estate projects across Gujarat have failed to submit mandatory annual audit reports required under the provisions the Real Estate (Regulation of Development) Act, 2016, popularly known as RERA. Some 1,418 projects, however, have successfully filed their audit reports online.
Under the new realty act, every promoter of a registered real estate project is required to file annual reports within six months after the end of every financial year, failing which developers attract penalty. Among other things, the annual report contains details such as money collected from buyers, amount spent on the project and progress in terms of percentage of work completed.
Of the defaulting projects, 374 are have project costs less than Rs 50 crore, 29 above Rs 100 crore and 45 have project cost between Rs 50 and Rs 100 crore, show data available on the website of Gujarat real estate regulatory authority.
Ahmedabad tops the list of cities with 201 projects defaulting on submission of the annual reports, followed by Surat (112), Vadodara (41) and Rajkot (25)
In order ensure better compliance, the state authority had extended the last date for submission of reports for 2017-18 from September 30 to October 31. Even after the extension, realtors could file their reports by November 30, 2018.
Notices have been issued to defaulters and time till January 15, 2019 has further been given to comply with the norms. “Action will be taken, and penalty will be levied on those who remain non-complaint after January 15,” said a source.
As on date, 4,500 projects in the state have been registered under RERA. Industry players opine that the compliance has so far been much better across the state. Around 1,866 real estate projects were to submit audit reports for 2017-18, of which 1,418 have complied with the mandatory filing.
“Almost 76% projects have submitted their reports and it is a good ratio. Since the act is new, there will be some hiccups for the first two years as small-time realtors have teething troubles, especially in smaller towns. However, the compliance will further improve in the time to come,” said a real estate developer.
NEWS LINK: https://realty.economictimes.indiatimes.com/news