To recover close to Rs 50 lakh, the Maharashtra Real Estate Regulatory Authority (MahaRERA) has put up a property in Pune worth around Rs 1.63 crore for auction. Without the auction route, the regulator has managed to recover only Rs 32.92 crore of the total Rs 170.37 crore worth of warrants issued.
This will be the second such auction that the MahaRERA has initiated after its tasting success last month at Panvel.
Auction to be held next week
“An auction will be done in Pune sometime next week to recover compensation that was ordered by MahaRERA, but the developer failed to comply with. The builder – Modular Construction of Shivaji Nagar’s Bhamburda area was ordered to pay Rs 49,08,376 as compensation to a homebuyer for the delay in the project. As the builder defaulted by not following MahaRERA’s order on compensating the customer, a warrant was issued to initiate the recovery process,” said a MahaRERA official.
The warrant in this regard was sent to the Pune Collectorate for recovery. The Pune City Tehsildar has announced the auction by seizing 83.28 square meters of the developer’s apartment. The auction will be held on May 10 (Wednesday) morning at Tehsildar’s office in Peth.
Builder will have to pay amount mentioned in the warrant to stop auction
According to a MahaRERA official, if the developer wants to stop this auction, the errant company will have to pay the amount mentioned in the warrant and public advertisement amount by May 5.
So far, the housing regulator has issued 227 warrants in response to various complaints from the Pune area. The total amount of these warrants is Rs 170.37 crore and Rs 32.92 crore rupees have been recovered so far in 39 cases.
The complaints that merit recovery vary from non-handover of flats as per the timeline, sub-standard quality of construction, abandoning the project completely or in part, etc. After hearing both sides, MahaRERA issues an order with regards to compensation with interest or refund with interest within a certain time frame, post which a warrant is issued to recover the compensation or refund amount from the builder.
