Hyderabad Developer Faces Action for RERA Violations
Hyderabad: The Telangana Real Estate Regulatory Authority (TG RERA) has intensified regulatory oversight of the state’s property sector by directing a Hyderabad-based developer to refund a plot buyer after collecting money for an unregistered real estate project. The order highlights the growing emphasis on protecting homebuyers and ensuring compliance with the Real Estate (Regulation and Development) Act, 2016.
The TG RERA action against unregistered projects follows a complaint from a buyer who paid ₹19.29 lakh towards the purchase of a residential plot. Although the developer later refunded ₹10 lakh, the remaining ₹9.29 lakh remained unpaid, prompting the buyer to seek relief from the regulatory authority. After reviewing the case, TG RERA concluded that the developer had marketed and accepted payments for projects without obtaining mandatory registration under the RERA Act. The Authority also observed that the developer accepted payments exceeding the statutory limit before executing a formal Agreement of Sale, indicating prima facie violations of the law. As part of the TG RERA action against unregistered projects, the Authority directed the developer to refund the remaining ₹9.29 lakh with applicable interest, pay interest on the amount already refunded, and complete compliance within 60 days.
In addition to granting relief to the buyer, TG RERA instructed its Secretary to initiate suo motu proceedings against the developer for alleged violations of Sections 3, 4 and 13 of the RERA Act. The Authority also prohibited the company from advertising, booking, marketing or selling plots in the concerned projects until they are officially registered. Real estate experts say the order reinforces the importance of regulatory compliance and strengthens consumer confidence in Hyderabad’s property market. Mandatory project registration, transparent documentation and timely execution of agreements are considered fundamental safeguards for protecting homebuyers from financial and legal risks. Urban policy analysts believe stronger enforcement by RERA authorities encourages greater accountability among developers while improving transparency across the real estate sector. Consistent regulatory oversight can also enhance investor confidence and promote sustainable market growth.
Industry observers advise prospective buyers to verify a project’s RERA registration, legal approvals and developer credentials before making any payments. Due diligence remains essential as Hyderabad continues to witness significant residential development across multiple growth corridors. As Hyderabad’s property market expands, the latest TG RERA order underscores the regulator’s commitment to enforcing compliance, safeguarding consumer interests and promoting greater transparency in the real estate sector.
