Madhya Pradesh’s RERA gets judicial teeth, first in the country


Real Estate Regulatory Authority (RERA) of Madhya Pradesh became the first realty regulator in the country to get judicial teeth. Retired district judge, DN Shukla was appointed as first executing officer of RERA on Wednesday.

With the appointment of execution officer it will be legally binding on parties, including realtors and consumers, to follow the directives of the authority.

MP government had amended RERA rules for the purpose and issued a gazette notification facilitating appointment of an executing officer.

In the present set up, if RERA passes an order and the party concerned is unwilling to accept it, RERA moves the civil court. In such a situation, odds are that the matter may get delayed in legal procedures.

Going by RERA statistics, out of the 3,800 complaints it received so far, 2,600 have already been disposed, while 1,200 are pending. Of the total disposed cases, 88% went in favor of allottees, while the remaining 12% went in favour of builders. It means 2,300 went in favor of allottees while 300 to builders.

Of the total 2,300 orders that went against builders, there are about 400 cases in which builders are not complying with RERA orders. The execution officer with powers of both the civil and revenue court would now ensure the compliance of RERA orders.

The appointment required amendments in state RERA rules 27 and 28 that deal with recovery of interest; penalty and compensation; implementing the orders; directions and decisions of the authority. State government did the needful on the proposal of RERA.

The executing officer would take charge in a week. A panel of legal experts comprising senior judges and law secretary conducted interviews after inviting applications and finalised the name of DN Shukla.

Once the executing officer takes charge an allottee in favour of whom order was given by RERA against the builder and the builder is not accepting it, can approach the execution officer in 90 days. The execution fee would also be borne by builders once the order is executed and allottee need to pay only a token sum of Rs 1,000.

RERA chairman Anthony deSa confirmed no other state in country has an executing officer, as of now. He said, it would further strengthen the authority and ensure that its orders are followed without fail.