The Real Estate (Regulation & Development) Act 2016,

and Rules thereunder

Gujarat RERA

FAQs

Subject Page
numbers

1. Real Estate Regulation and Development Act, 2016 2-23

2 The Real Estate (Regulation & Development) (General) 24 -31

Rules, 2017

3. The Real Estate (Regulation & Development) (General) 32 -35

Regulations, 2017

4. 36 -37
The Real Estate (Regulation & Development) (Appellate
Tribunal) Rules, 2016

5. The Real Estate (Regulation & Development) (RERA) 38-42

Matters Relating to the Real Estate Regulatory
Authority Rules, 2016

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1. The Real Estate (Regulation & Development) Act, 2016:

This section gives the objective and key definitions used in the act. It addresses
queries related to the eligibility, procedures and documents required for registration
of projects and agents. The possible actions that the authority is empowered to take
to deal with unfair practices including revocation of the project. It defines functions
& duties of the promoter, as well as rights & duties of the allottees. A general
overview is there of the Authority and Appellate Tribunal comprising of their
respective functions, powers and establishment. It lays down the powers delegated for
the recovery of interest, penalty or compensation related to offences. In addition it
lays down specific directions to the Authority pertaining to finance, accounts & audit
reports.

Subject Page
numbers

1.1. Objective of Real Estate (Regulation & Development) 3

Act, 2016

1.2. Key definitions 3

1.3. Registration of Projects & Agents 5

1.4. Revocation 7

1.5. Functions & Duties of Promoter 8

1.6. Rights & Duties of Allottees 11

1.7. Real Estate Regulatory Authority 11

1.8. Offences, Penalties & Adjudication 15

1.9. Finance, Accounts, Audit & Reports 19

1.10. Real Estate Appellate Tribunal 19

1.11. Miscellaneous 21

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1.1. Objective of Real Estate (Regulation & Development) Act, 2016
The object of this Act is to establish the Real Estate Regulatory Authority and
Appellate Tribunal, for regulation and promotion of the real estate sector, to
ensure sale of plot etc., in an efficient and transparent manner, to protect the
interest of consumers, and to establish adjudicating mechanism for speedy
redressal of disputes. The Important Objectives may be summarized as under;

i. To ensure accountability towards Allottees and protect their interests.

ii. To ensure fair-play and reduce frauds and delays.
iii. To introduce professionalism and pan India standardization.
iv. To establish symmetry of information between the Promoter and Allottees.
v. To impose certain responsibilities on both Promoter and Allottees.
vi. To establish regulatory oversight mechanism to enforce contracts.
vii. To establish fast-track dispute resolution mechanism.
viii. To promote good governance in the sector which in turn would create
investor confidence.

Real Estate (Regulation & Development) Act, 2016 is a Central Act, enacted
by the Central Government. This Act came in to force, with effect from 1. 5.
2016. However, as provided in the Act, the Regulatory Authority and the
Appellate Tribunal were required to be established within the period of one year
i.e. on or before 30. 4. 2017.

1.2. Key definitions

i. ‘Allottee’

As defined in Section 2 (d) of the Act, ‘Allottee’ means the person to whom
a plot etc. is allotted or sold or transferred by Promoter and also the person
who subsequently acquired such property, but not the ‘tenant’.

ii. ‘Apartment’

As per Section 2 (e) of the Act, ‘Apartment’ means block, chamber, dwelling
unit, flat, office, showroom, shop, godown, premises, suite, tenement, unit or

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 any other separate and self-contained part of any immovable property, for the
use of residence, commercial, profession etc.

iii. ‘Carpet Area’

As defined in Section 2 (k) of the Act, ‘Carpet Area’ means the net usable
floor area of an apartment, excluding the area covered by the external walls,
areas under service shafts, exclusive balcony or verandah area and exclusive
open terrace area, but includes the area covered the internal partition walls of
the apartment.

iv. ‘Commencement Certificate’

As per Section 2 (m) of the Act, ‘Commencement Certificate’ means

certificate or the building permit or the construction permit, issued by the
Competent Authority, to begin development work, on any immovable
property, as per sanctioned plan.

v. ‘Common Area’

As defined in Section 2 (n) of the Act, ‘Common Area’ means the entire land
of the project, stair cases, lifts, lobbies, fire escapes, entrances, exists,
basements, terraces, parks, play areas, open parking areas, common storage
spaces, accommodation for security persons, cabin/area of common services,
water tanks, sumps, motors, fans, pumps, compressors, ducts, all community
and commercial facilities, and all other portion necessary and convenient for
maintenance, safety etc. and in common use.

vi. ‘Competent Authority’

As per Section 2 (p) of the Act, ‘Competent Authority’ means the Local
Authority established under the law, to give permission for development of
property.

vii. ‘Completion Certificate’

As defined in Section 2 (q) of the Act, ‘Completion Certificate’ means

certificate issued by the Competent Authority certifying that the project has

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 been developed, according to the sanctioned plan, layout plan and
specifications, as approved.

viii. ‘Estimated Cost’

As defined in Section 2 (v) of the Act, ‘Estimated Cost’ means the total cost
involved in developing the project which includes the land cost, cess,
development and other charges.

ix. ‘External Development Works’

As defined in Section 2 (w) of the Act, ‘External Development Works’ means

roads, landscaping, water supply, sewage, drainages, transformer, sub-station,
solid waste management and disposal, etc.

x. ‘Occupancy Certificate’

As per Section 2 (zf) of the Act, ‘Occupancy Certificate’ means certificate

issued by the Competent Authority permitting occupation of any building
which has provisions for civic infrastructure such as water, sanitation and
electricity.

1.3. Registration of Projects & Agents

i. Projects eligible for registration

As per Section 3 of the Act, all the new and ongoing projects for residential
or commercial, where the area of the land is more than 500 square meters or
number of apartments/Units are more than eight, but registration is not
required, if completion certificate is already obtained, prior to commencement
of this Act.

ii. Advertisement, booking or sale of unit

Section 3 of the Act prohibits advertisement, booking or sale of unit prior to

the registration or if the registration is pending.

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 iii. Documents required for registration of project

As per Section 4 of the Act, project details such as name, address, type of
enterprise, last five years’ project details, commencement certificate,
sanctioned plan, layout plan, specifications, plan of development works,
provisions of fire safety, electricity, drainages, location details, proforma of
allotment letter, profoma of agreement for sale or conveyance deed, details
about carpet areas of each Unit, balcony/verandahs, garages, name etc. of Real
Estate Agent, contractors, architects, structural engineer etc. and declaration
supported by affidavit signed by Promoter or any authorized person.

iv. Time limit for granting or refusing the registration

As per Section 5 of the Act, such decision is required to be taken, within 30

days from the date of receipt of application with complete details.

v. Can registration be refused, without giving an opportunity of hearing?

No, as per proviso to Section 5, opportunity of hearing is required, before

refusing the application for registration of project.

vi. What if the Authority exceeds the time limit for granting or refusing
the registration?

If the Authority failed to register or refuse registration within the time limit,
the project shall be deemed to be registered and the Authority after the further
period of 7 days, is duty bound to provide registration number etc.

vii. Validity period for registered project

Registration of project shall remain in force till the date, as declared by the
Promoter in the application, for completion of the project or phase thereof.

viii. Extension of period for completion of project

Promoter on the ground of ‘force majeure’, may apply for extension of period
under Section 6 of the Act and the Authority in reasonable circumstances,
after recording reasons, may extend the period for completion of project.

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 However, before rejection of application for extension, opportunity of hearing
is required to be given to the Promoter.

ix. Can a person act as Real Estate Agent without registration?

No, without registration as Real Estate Agent, under Section 9 of the Act,
activities such as any sale or purchase of any plot, apartment or building of
any registered project are not permissible.

x. What are the functions of the Real Estate Agent?

As per Section 10 of the Act, the Real Estate Agent has to maintain books of
account, records and documents, not to involve in any unfair practice, not to
make or support any false representation, and to make available the relevant
information and documents of the project to Allottees.

1.4. Revocation

i. Can the registration be revoked/cancelled, if granted?

Where the Authority, suo moto or on receipt of complaint or on

recommendation of Competent Authority, is satisfied that Promoter has
violated provisions of any law, or the terms and conditions of the approval or
is involved in an unfair practice or irregularities, may revoke/cancel the
registration under Section 7 of the Act.

ii. Procedure required for revocation of registration

As per Section 7 of the Act, notice stating the grounds for proposed
revocation of registration is required to be issued inviting explanation within
30 days, from the Promoter for consideration.

iii. ‘Unfair Practice’

Practice of false representation in any manner, about the standard of services,

about approval or affiliation, or any other kind of fraudulent practices, adopted
by Promoter, for the purpose of promoting sale or development of project.

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 iv. Actions by the Authority after revocation of registration

Firstly, to debar the Promoter from accessing its website and display his name
and photograph as defaulter. Secondly, to inform RERA of other States and
Union Territories about revocation. Thirdly, to freeze the bank account for
appropriate utilization of fund. Fourthly, to carry out remaining work as
provided in Section 8 of the Act.

1.5. Functions & Duties of Promoter

i. Functions of the Promoter

As per Section 11 of the Act, Promoter has to publish all the necessary details
of the project on website and to update from time to time, to make available
all the documents to Allottee, to provide stage wise time schedule for
completion to Allottee, to comply with all the terms and conditions of the
agreement for sale, to obtain completion or occupancy certificate and to hand
over the possession to Allottee without any undue delay, to execute sale deed,
to pay all the arrears, to maintain essential services till formation of
Association of Allottees and to cooperate in forming such Association.

ii. Compensation related to incorrect or false information provided

through Advertisement or Prospectus or Model?

Section 12 the Act provides that if any person affected by such incorrect or
false statement contained in Advertisement, Prospectus or Model, shall be
compensated by the Promoter or if he intends to withdraw from the proposed
project, he will be entitled for refund of entire investment, along with interest
and compensation, provided under the Act.

iii. Can promoter demand a deposit before Agreement for Sale?

As per Section 13 of the Act, Promoter cannot take an amount more than ten
percent of the cost of the Unit, as deposit or advance, without executing an
Agreement for Sale.

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iv. Form prescribed for Agreement for Sale

Section 13 (2) of the Act provides for a common Form to be prescribed for
Agreement for Sale mentioning all the necessary particulars like,
specifications, internal and external development works, schedule for
completion of work, schedule for payment by Allottee, date of handing over
possession, conditions for cancellation of booking, payment of interest, in
case of delay in payment or possession, formation of Association of Allottees
etc.

v. Alterations permissible for a project

As per Section 14 (2) of the Act, Promoter is duty bound to complete the
construction, as per the sanctioned plan, lay out plan and specifications, and
cannot make additions or alterations, without the permission of the Allottee
concerned. However, minor changes as recommended by Architect or
Engineer, may be made after intimation to the Allottee. For any other
additions or alterations, consent of 2/3 of the Allottees is required.

vi. Can compensation be claimed for structural defect post possession?

As per Section 14 (3) of the Act, within a period of 5 years, from the date of
taking the possession, after requesting the Promoter to rectify such defects
within 30 days, if it is not rectified by Promoter then, Allottee can claim
compensation from the Promoter.

vii. Whether rights and liabilities in respect of any ongoing project, can be
transferred to third party by Promoter?

Section 15 of the Act provides that without the consent of 2/3 of Allottees and
prior permission of RERA Authority, such transfer is not permissible. Even
after permission, the intending Promoter/Third Party will be liable to comply
with all the pending obligations. However, on this ground, such third party
will not be entitled for extension of time for completion of project.

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viii. Is there any provision for obtaining insurance of ongoing project?

Section 16 of the Act provides that Promoter to obtain insurance in respect of

land, building, construction work etc. and to pay premium for that, till transfer
to Association of Allottees.

ix. Provisions for execution of sale deed, handing over the possession and
necessary documents

Section 17 of the Act provides that within the period of 3 months, from the
date of issuance of occupancy certificate, Promoter to execute registered sale
deed in favour of Allottee and to hand over the possession along with the title
documents thereof. Further, within the period of 30 days, from the date of
occupancy certificate, Promoter to hand over all the necessary documents,
plans etc., to the Association of Allottees.

x. Allottee rights in case of failure in completion of project or handing

over the possession

Section 18 (1) of the Act provides that if the Promoter fails to complete the
project or is unable to give possession and the Allottee on this ground, wishes
to withdraw from the project, he will be entitled to get the refund with interest
including compensation. However, if he does not intend to withdraw from the
project, he will be entitled to get interest for every month delay, till handing
over the possession.

xi. Compensation entitled for Allottee due to defective land title

Section 18 (2) of the Act provides that in case of defective title of land,
Allottee will be entitled to get compensation and for that the provisions of law
of limitation, shall not be applicable.

xii. Compensation related to case of failure of discharge of any other

obligations

Section 18 (3) of the Act provides that if the Promoter fails to discharge any
other obligations imposed under the Act, Rules, Regulations or the terms of
agreement, Allottee will be entitled to claim compensation.

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1.6. Rights & Duties of Allottees

i. What are the rights of Allottees?

As provided in Section 19 of the Act, Allottees have right to obtain

information relating to sanctioned plan, layout plan, specifications, stage wise
time schedule of completion of the project, provisions of water, sanitation,
electricity and other amenities and services, date of handing over the
possession, to get registered a sale deed, to claim interest and compensation
in case of failure on the part of the Promoter etc.

ii. What are the duties of Allottees?

As provided in Section 19 of the Act, Allottees shall be responsible to make

necessary payments, in the manner and within the time as prescribed, in the
agreement for sale, and also to pay his share of registration fees, taxes,
maintenance, rent etc., to pay interest on the due amount, to take possession
of Flat/Unit, within a period of two months of occupancy certificate, to
cooperate in formation of Association of Allottees, etc.

1.7. Real Estate Regulatory Authority

i. Establishment of the Real Estate Regulatory Authority

The State Government has power to establish the Authority in the respective
State, under Section 20 of the Act.

ii. Who is eligible to appointed as Chairperson of the Authority?

As provided in Section 22 of the Act, person having adequate knowledge of

and professional experience of at least twenty years in urban development,
housing, real estate development, infrastructure, economics, technical experts
from relevant fields, planning, law, commerce, accountancy, industry,
management, social service, public affairs, or administration or person who
has held the post of Additional Secretary to the Central Government or any

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 equivalent post in the Central or State Government, is eligible for such
appointment.

iii. Who is eligible to be appointed as members of the Authority?

As provided in Section 22 of the Act, person having adequate knowledge of

and professional experience of at least fifteen years in urban development,
housing, real estate development, infrastructure, economics, technical experts
from relevant fields, planning, law, commerce, accountancy, industry,
management, social service, public affairs, or administration or person who
has held the post of Secretary to the State Government or any equivalent post
in the Central or State Government, is eligible for such appointment.

iv. Procedure for appointment of Chairperson and Members of

Authority

As per Section 22 of the Act, the State Government to appoint Chairperson

and Members of the Authority, on the recommendations of a Selection
Committee, consisting of the Chief Justice of the High Court or his nominee,
the Secretary of the Department dealing with Housing and the Law Secretary.

v. Office term of Chairperson and Members of Authority

Section 23 of the Act provides that Chairperson and Members shall hold
office, for a term not exceeding five years, from the date on which they enter
upon their office, or until they attain the age of sixty-five years, whichever is
earlier, and shall not be eligible for re-appointment.

vi. Who has general powers of supervision of the Authority?

As per Section 25 of the Act, Chairperson shall have the powers of general
superintendence and directions, in the conduct of the affairs of Authority.

vii. Who has powers to appoint other officers and employees of Authority?

As provided in Section 28 of the Act, the State Government in consultation

with Authority, may appoint other officers and employees, as it considers
necessary.

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viii. Eligibility to file complaint before Authority or Adjudicating Officer

Section 31 of the Act provides that any aggrieved person may file a complaint
with the Authority or Adjudicating Officer for any violation or contravention
of the provisions of this Act or Rules, and Regulations, against any Promoter,
Allottee or Rea Estate Agent.

ix. Functions of the Authority for promotion of real estate sector

As provided in Section 32 of the Act, the Authority for promotion of real

estate sector, to recommend to the Government on protection of interest of
Allottees, Promoters, Real Estate Agents, to create single window system for
approval and completion of the projects, to create grievance redressal
mechanism, to suggest measures to encourage investment in this sector, for
quality of construction, for grading of projects, for amicable conciliation of
disputes, for digitization of records and for better services for development of
this sector.

x. What are the functions of the Authority?

Section 34 of the Act provides that the Authority to register and regulate the
real estate projects and agents, to maintain website publishing necessary
information about registration, extension, cancellation or revocation of
projects, Promoters as defaulters, Real Estate Agents, to fix the fees, to ensure
compliance of obligations under the Act, Rules and Regulations and
orders/directions, issued by the Authority.

xi. Whether the Authority has powers to call for information and conduct
an investigation?

As per Section 35 of the Act, the Authority on a complaint or suo moto, may
after recording reasons, exercise powers as vested in Civil Court and call for
information from any Promoter, Real Estate Agent or Allottee and also
appoint one or more persons, to make an inquiry, in relation to any affairs,
under the Act, Rules or Regulations.

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 xii. Whether the Authority has powers to issue interim orders?

Section 36 of the Act empowers the Authority to restrain Promoter, Real

Estate Agent or Allottee, from committing any act, till conclusion of inquiry
or further order, even without issuing notice to such party.

xiii. Whether the Authority has powers to issue directions?

Section 37 of the Act empowers the Authority to issue any direction against
Promoter, Real Estate Agent or Allottee, as it may consider necessary, for the
purpose of discharging its functions, under the provisions of the Act, Rules or
Regulations.

xiv. Whether the Authority has powers to impose penalty or interest?

Section 38 of the Act empowers the Authority, to impose penalty or interest

upon any Promoter, Real Estate Agent or Allottee, for contravention of any
provisions of the Act, Rules or Regulations, after giving opportunity of
hearing, to such party.

xv. Whether the Authority has powers to rectify its orders?

Section 39 of the Act empowers the Authority, to rectify its mistake apparent
from the record and amend any order, within the period of two years, from the
date of order, if no appeal is preferred, against such order.

xvi. Procedure required for recovery of interest, penalty or compensation

Section 40 (1) of the Act provides that in case of failure, the due amount of
interest, penalty or compensation, may be recovered from Promoter, Real
Estate Agent or Allottee, by the Authority or the Adjudicating Officer or the
Appellate Tribunal, as an arrears of land revenue.

xvii. Procedure required for enforcement of order or direction passed by

the Authority

Section 40 (2) of the Act provides that in case of failure, in complying with
any order or direction, the same can be enforced by the Authority or the

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 Adjudicating Officer or the Appellate Tribunal, as if it is passed by any Civil
Court.

1.8. Offences, Penalties & Adjudication

i. Penalty prescribed for non- registration of project
In case of contravenes of the provisions of Section 3, Promoter shall be
liable to a penalty, which may extend up to ten percent of the estimated cost
of the project, under Section 59 (1) of the Act.

ii. Punishment prescribed for non-compliance of the order/direction

passed
In case of non-compliance of such order/direction passed under sub-Section
(1) of Section 59 for non-registration or continuation of violation, Promoter
shall be punishable with imprisonment for a term, which may extend up to
three years or with fine, which may extend up to a further ten percent of the
estimated cost of the project, or with both, under Section 59 (2) of the Act.

i. Penalty prescribed for false information or contravention of the

provisions of Section 4 of the Act.

Promoter shall be liable to a penalty which may extend up to five percent of

the estimated cost of the project, under Section 60 of the Act, in case of false
information or contravention of the provisions of Section 4 of the Act.

ii. Penalty prescribed for contravention of other provisions of the Act

Promoter shall be liable to a penalty which may extend up to five percent of

the estimated cost of the project, under Section 61 of the Act, in case of
contravention of any provisions, other than the provisions of Sections 3 and 4
of the Act.

iii. Penalty prescribed for non-registration as Real Estate Agent

Real Estate Agent shall be liable to a penalty of ten thousand rupees for every
day during which such default continues, which may cumulatively extend up

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 to five percent of the cost of the plot, apartment or building of the project,
under Section 62 of the Act, for non-compliance or contravention of the
provisions of Sections 9 and 10 of the Act.

iv. Penalty prescribed for non-compliance or contravention of order or

direction of the Authority by Promoter

Section 63 of the Act provides that Promoter shall be liable to a penalty for
every day during which such default continues, which may cumulatively
extend up to five percent of the estimated cost of the project.

v. Penalty prescribed for non-compliance or contravention of order or

direction of the Appellate Tribunal by Promoter

Section 64 of the Act provides that Promoter shall be punishable with

imprisonment, for a term which may extend up to three years or with fine for
every day during which such default continues, which may cumulatively
extend up to ten percent of the estimated cost of the project or with both.

vi. Penalty prescribed for non-compliance or contravention of order or

direction of the Authority by Real Estate Agent

Section 65 of the Act provides that Real Estate Agent shall be liable to a
penalty for every day during which such default continues, which may
cumulatively extend up to five percent of the estimated cost of the plot,
apartment or building of the project.

vii. Penalty prescribed for non-compliance or contravention of order or

direction of the Appellate Tribunal by Real Estate Agent

Section 66 of the Act provides that Real Estate Agent shall be punishable with
imprisonment, for a term which may extend up to one year or with fine for
every day during which such default continues, which may cumulatively
extend up to ten percent of the estimated cost of the plot, apartment or building
of the project or with both.

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viii. Penalty prescribed for non-compliance or contravention of order or
direction of the Authority by Allottee

Section 67 of the Act provides that Allottee shall be liable to a penalty for the
period during which such default continues, which may cumulatively extend
up to five percent of the estimated cost of the plot, apartment or building of
the project.

ix. Penalty prescribed for non-compliance or contravention of order or

direction of the Appellate Tribunal by Allottee

Section 68 of the Act provides that Allottee shall be punishable with

imprisonment, for a term which may extend up to one year or with fine for
every day during which such default continues, which may cumulatively
extend up to ten percent of the estimated cost of the plot, apartment or building
of the project or with both.

x. Punishment liability for the offence committed by a Company

Section 69 (1) of the Act provides that every person who, at the time, the
offence was committed, was in-charge of, or was responsible to the company
for the conduct of the business of the company, as well as the company, shall
be deemed to be guilty of the offence, unless such person proves that the
offence was committed without his knowledge or he had exercised due
diligence to prevent the commission of such offence.

Section 69 (2) provides that in case where it is proved that the offence has
been committed with the consent or connivance or is attributable to any
neglect on the part of any director, manager, secretary or other officer of the
company, then he shall also be deemed to be guilty of such offence.

xi. Whether compounding of offences permissible under the Act?

Section 70 of the Act provides that if any person is punished with

imprisonment under this Act, the punishment may, either before or after
the institution of the prosecution, be compounded by the Court, on such
terms and conditions and on payment of such sums, as may be prescribed.

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xii. Eligibility to be appointed as Adjudicating Officer for adjudging
compensation

As provided in Section 71 (1) of the Act, a judicial officer, who is or has been
a District Judge, can be appointed by the Authority, in consultation with the
Government, for holding inquiry in the prescribed manner, after giving any
person concerned, a reasonable opportunity of being heard, for the purpose of
adjudging compensation, under Sections 12, 14, 18 and 19 of the Act.

xiii. Complaints pending before Consumer Disputes Redressal Forum

Proviso to Section 71 (1) of the Act provides that any person, whose
Complaint is pending before the Consumer Disputes Redressal Forum, on or
before the date of commencement of this Act, may withdraw the Complaint
and file an application before the Adjudicating Officer, under this Act.

xiv. Time prescribed for disposal of Complaint for compensation

Section 71 (2) of the Act provides for expeditious disposal, within a period of
sixty days, or to record reasons for delay in disposal.

xv. How to conduct inquiry for adjudging compensation?

As per Section 71 (3) of the Act, the Adjudicating Officer has power to
summon and enforce the attendance of any person acquainted with the facts
and circumstances of the case, to give evidence or to produce any documents,
and upon satisfaction that the person has failed to comply with any of the
relevant provisions of Sections 12, 14, 18 and 19, may direct to pay
compensation or interest, as thinks fit in accordance with these provisions.

xvi. Factors to be considered while adjudging compensation

As per Section 72 of the Act, while adjudging quantum of compensation or

interest, (a) the amount of disproportionate gain or unfair advantage, (b) the
amount of loss caused (c) the repetitive nature of the default and (d) any other
factors, which are relevant, to be considered by the Adjudicating Officer.

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1.9. Finance, Accounts, Audit & Reports
i. What is meant by ‘Real Estate Regulatory Fund’?

As per Section 75 of the Act, Real Estate Regulatory Fund means, the fund
created by the Government, from the source of grants received by the
Authority from the Government, and the fees received under the Act by the
Authority, to meet with the expenses to discharge its functions under the Act.

ii. Budget and audit of accounts of the Authority

As per Section 77 of the Act, every year the Authority to prepare a budget, to
maintain accounts and other records, for the purpose of audit by the
Comptroller and Auditor General of India.

iii. Preparation of annual report

Section 78 of the Act provides that the Authority shall prepare annual report
about the activities and accounts of previous year, and programs of work for
the coming year, to be placed before the State Legislature.

1.10. Real Estate Appellate Tribunal

i. Who has power to establish the Real Estate Appellate Tribunal?

The State Government has power to establish the Appellate Tribunal in the
respective State under Section 43 of the Act.

ii. Edibility to be appointed as Chairperson of the Appellate Tribunal?

As per Section 46 (1) of the Act, a person shall not be qualified for
appointment as Chairperson of the Tribunal, unless he is or has been a Judge
of a High Court.

iii. Edibility to be appointed as Judicial Member of the Appellate

Tribunal?

As per Section 46 (1) of the Act, a person shall not be qualified for
appointment as Judicial Member of the Tribunal, unless he has held a judicial

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 office in the territory of India for at least fifteen years, or has been a member
of the Indian Legal Service and has held the post of Additional Secretary of
that service or any equivalent post, or has been an advocate for at least twenty
years with experience in dealing with real estate matters.

iv. Edibility to be appointed as Technical/Administrative Member of the

Appellate Tribunal

As provided in Section 46 (1) of the Act, a person who is well-versed in the

field and professional experience of at least twenty years in urban
development, housing, real estate development, infrastructure, economics,
planning, law, commerce, accountancy, industry, management, public affairs,
or administration or person who has held the post equivalent to the post of
Additional Secretary to the Government of India or any equivalent post, in the
Central or State Government, is eligible for such appointment.

v. Procedure for appointment of Chairperson and Members of Appellate

Tribunal

As per Section 46 (2) and (3) of the Act, the State Government to appoint
Chairperson, in consultation with the Chief Justice or his nominee, and the
appointment of the Members on the recommendations of a Selection
Committee, consisting of the Chief Justice of the High Court or his nominee,
the Secretary of the Department dealing with Housing and the Law Secretary.

vi. Term of office for Chairperson and Members of Appellate Tribunal

Section 47 provides that Chairperson and Members shall hold office, for a
term not exceeding five years, from the date on which they enter upon their
office, or until they attain the age of sixty-seven and sixty-five years
respectively, whichever is earlier, and shall not be eligible for re-appointment.

vii. Powers of the Appellate Tribunal?

Section 53 of the Act provides that the Tribunal shall not be bound by the
procedure laid down by the Civil Procedure Code, and the rules of evidence
contained in the Evidence Act, but guided by the principle of natural justice,

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 and shall have power to regulate its own procedure, and shall have the same
powers, as are vested in a Civil Court for summons, attendance, discovery,
production of documents, evidence, review, dismissal, ex-parte etc.

viii. Who has general powers of supervision of the Appellate Tribunal?

As per Section 54 of the Act, Chairperson shall have the powers of general
superintendence and directions, in the conduct of the affairs of Tribunal.

ix. Eligibility for representing a case on behalf of Applicant or Opponent

As per Section 56 of the Act, the Applicant or Appellant may appear in person
or may authorize one or more Chartered Accountants, Company Secretaries,
Cost Accountants, or Legal Practitioners, or any of its officers, to present his
or its case, before the Tribunal, Authority, or Adjudicating Officer.

x. Procedure required for executing orders passed by the Appellate

Tribunal

Section 57 of the Act provides that every order shall be executable, as a decree
of Civil Court and for this purpose, the Tribunal shall have all the powers of
a Civil Court, and may transfer the order, to Civil Court for its execution.

xi. Challenging of order or decision of Appellate Tribunal

As per Section 58 of the Act, an Appeal may be filed in the High Court, within
a period of 60 days, against the order or decision of the Tribunal, on the
grounds, specified in Section 100 of the C. P. Code.

1.11. Miscellaneous:

i. Whether Civil Court has jurisdiction, to deal with the subject matter,
under this Act?

Section 79 of the Act provides that no Civil Court shall have jurisdiction, to
entertain any suit or proceeding or to grant injunction, in respect of any matter,
which the Authority or the Adjudicating Officer or the Appellate Tribunal is
empowered to determine by or under this Act.

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 ii. Who can file Complaint for the offence punishable under this Act?

As per Section 80 of the Act, no Court shall take cognizance of any offence
punishable under this Act or the Rules or Regulations, except a complaint in
writing made by the Authority or by officer duly authorized by the Authority.

iii. Whether the Authority can delegate its powers?

As per Section 81 of the Act, the Authority may, by general or special order
in writing, delegate its powers and functions, except the powers to make
Regulations under Section 85, to any Member or Officer of the Authority or
any other person, as it may deem necessary.

iv. Who has powers to make Rules, under the Act?

As per Section 84 of the Act, the Government has powers, to makes Rules
under this Act.

v. Who has powers to make Regulations, under the Act?

As per Section 85 of the Act, the Authority has powers, to make Regulations
under this Act.

vi. Whether the Officers and Employees of the Authority and Tribunal,
can be said to be public servants?

As per Section 87 of the Act, the Chairperson, Members and other Officers
and employees of the Authority and the Appellate Tribunal and the
Adjudicating Officer, to be deemed to be public servants, within the meaning
of Section 21 of the IPC.

vii. What about the applicability of the provisions of other laws?

Section 88 of the Act provides that the provisions of this Act, shall be in
addition to, and not in derogation of, the provisions of any other law, for the
time being in force.

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viii. Whether this Act has overriding effect?

Section 89 of the Act provides that the provisions of this Act, shall have effect,
notwithstanding anything inconsistent therewith, contained in any other law,
for the time being in force.

ix. What about the actions taken by the officers in good faith, under this
Act?

Section 90 of the Act provides that no suit, prosecution or other legal

proceedings shall lie against the Government or the Authority or Member or
any Officer or the employee, for anything which is done in good faith or
intended to be done, under this Act, Rules or Regulations.

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2. The Real Estate (Regulation & Development) (General)
Rules, 2017:

The State Government has framed the rules for implementation of the Real Estate
(Regulation & Development) Act, 2016. It lays down all the necessary documents
and procedures that are required for registration, extension and alteration of the
project. Similarly, it prescribes formats to ensure compliance with the provisions of
the Act. It addresses inquiries related to fees and refund, separate bank account and
procedure for withdrawal of amounts for the project. This further deals with
procedure for registration of real estate agents. It lays down the procedure for
renewal and revocation of the registration, implementation of the orders, directions,
or decisions of the Authority & Adjudicating Officer.

Subject Page
numbers

2.1. Date of effect of the Gujarat Real Estate (Regulation 25

and Development) (General) Rules, 2017

2.2. Documents required for registration of project 26

2.3. Fees prescribed for registration of project 26

2.4. Declaration form prescribed under Rules 26

2.5. What about refund of fees, in case of withdrawal of 27

application for registration?

2.6. Whether disclosed of estimated cost is required, at the 27

time of registration of project?

2.7. What about the registration of ongoing projects? 27

2.8. Additional information required for registration of 27

ongoing projects

2.9. Opening of separate account in Bank and deposition of 27

amount, in case of ongoing projects
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2.10. Conditions applied for withdrawal of amount from the 28
separate account maintained by Promoter

2.11. What about the issuance of Certificate of Registration of 28

Project, under Section 5 of the Act?

2.12. Procedure for acquiring extension for a project 28

2.13. Procedure prescribed for revocation of registration, 29

under Section 7 of the Act

2.14. Form prescribed in the Rules for Agreement for Sale 29

2.15. Procedure prescribed for registering as Real Estate 29

Agent

2.16. Issuance of Certificate of Registration as Real Estate 29

Agent

2.17. Provisions for renewal and revocation of registration, as 29

Real Estate Agent

2.18. Whether rate of interest is provided, under the General 30

Rules, 2017?

2.19. Time limit allotted to Allottee for reviving a refund by 30

Promoter

2.20. Conditions prescribed for compounding of offences 30

under Section 70 of the Act

2.21. Method prescribed for implementation of orders, 30

directions, or decisions

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2.1. Date of effect of the Gujarat Real Estate (Regulation and Development)
(General) Rules, 2017

These Rules under the Act, came in to force, with effect from 1. 5. 2017.

2.2. Documents required for registration of project

As per Rule 3 (1) and (2) of these Rules, 2017, the Promoter has to furnish
the additional information/documents about PAN card, complete details of
Promoter, Partners, Directors, details about covered and open parking areas,
details about the title-deed of the land and encumbrances thereof, details about
the development agreement etc. and copies of relevant documents, in triplicate
at the time of submitting application for registration in prescribed Form ‘A’.

2.3. Fees prescribed for registration of project

As per Rule 3 (3), the prescribed fees, to be paid by demand draft are as below,

i. Group Housing- Rs. 5 per sq. m., if the project land is less than 1000 sq.
meters. and Rs. 10 per sq. m., if the project land exceeds 1000 sq. meters.,
however, maximum Rs. 5,00,000/-.
ii. Mixed Project- Rs. 10 per sq. m., if the project land is less than 1000 sq.
meters. and Rs. 15 per sq. m., if the project land exceeds 1000 sq. meters.,
however, maximum Rs. 7,00,000/-.
iii. Commercial- Rs. 20 per sq. m., if the project land is less than 1000 sq.
meters. and Rs. 25 per sq. m., if the project land exceeds 1000 sq. meters.,
however, maximum Rs. 10,00,000/-.
iv. Plotting- Rs. 5 per sq. m., however, maximum Rs. 2,00,000/-.

2.4. Declaration form prescribed under Rules

As per Rule 3 (4), declaration Form ‘B’ is required to be submitted along with
an application for registration of project.

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2.5. What about refund of fees, in case of withdrawal of application for
registration?

Rule 3 (5) provides retention of 10% of registration fees, or Rs. 50,000/-,

whichever is more, as processing fees, and refund of remaining fees to
Promoter, in case of withdrawal of application, before expiry of period of 30
days.

2.6. Whether disclosed of estimated cost is required, at the time of

registration of project?

Rule 3 (6) provides that the estimated cost, bifurcating the same, into market
value of the land, construction cost, other costs, interest, taxes, cess,
development charges, other charges, means of finance and the expenses
already incurred till the date of application, along with the certificate of
Chartered Account etc. is required to be disclosed, at the time of application
for registration of the project.

2.7. What about the registration of ongoing projects?

As per Rule 4 (1), the projects which has not received Completion Certificate,
on the date of commencement of the provisions of the Act, are required to be
registered, by submitting an application, as provided in Rule 3.

2.8. Additional information required for registration of ongoing projects

As per Rule 4 (2), the Promoter has to furnish additional information about
sanctioned and revised plan, layout plan, specifications, details about the
amount already received from Allottees, and the remaining amount to be
collected, status of project, time limit for completion of project, size of
apartment on the basis of carpet area, and area of plot in case of plotting.

2.9. Opening of separate account in Bank and deposition of amount, in case

of ongoing projects

Rule 4 (5) provides that in case of ongoing projects, the Promoter shall have
to deposit 70% of the balance amount, which are to be realized from the

{27}
 Allottees, in a separate account in Bank, within a period of three months of
the application for registration.

2.10. Conditions applied for withdrawal of amount from the separate account
maintained by Promoter

Rule 5 provides that the Promoter shall be entitled to withdraw the amounts
from the separate account, to the extent of the cost already incurred and paid
by the Promoter before the application for registration, and it shall be duly
certified by a Chartered Accountant. After registration, he shall be entitled to
withdraw the cost of land and construction, in proportion to the percentage of
completion of the project, as certified by the Chartered Account, whereas the
balance amount, upon issuance of Completion Certificate, after duly certified
by Engineer, Architect and Chartered Account, as per physical condition, at
the site.

2.11. What about the issuance of Certificate of Registration of Project, under

Section 5 of the Act?

Rule 6 provides that the Authority shall issue Certificate of Registration in

Form ‘C’ to the Promoter, mentioning validity period. In case of rejection of
application for registration, the Authority shall inform the Promoter in Form
‘D’.

2.12. Procedure for acquiring extension for a project

As per Rule 7, in case where the project could not be completed within the
validity period, the Promoter has to submit an application in Form ‘E’ for
extension, along with an explanatory note, setting out the grounds and reasons
for delay in completion of the project, together with relevant documents, and
½ of the registration fees. However, where extension of registration is due to
force majeure, the Authority may at its discretion waive the fees for such
extension while issuing Extension Certificate in Form ‘F’. In case of rejection
of application, the Authority shall inform the Promoter in Form ‘D’.

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2.13. Procedure prescribed for revocation of registration, under Section 7 of
the Act

Rule 8 provides that before revocation of registration, 30 days’ notice stating

the grounds, is required to be issued to the Promoter, to explain the
circumstances, and also required to give hearing to him for defence.

2.14. Form prescribed in the Rules for Agreement for Sale

Rule 9 prescribes Annexure ‘A’ for Agreement for Sale for the purpose of
Section 13 (2) of the Act. However, it is clarified that any Agreement for Sale,
allotment letter etc. already executed, prior to the commencement of the Act,
shall not limit the rights and interests of the Allottee, in any manner.

2.15. Procedure prescribed for registering as Real Estate Agent

As per Rule 10, an application is required to be submitted in Form, ‘G’
mentioning details about name, type of enterprise, particulars of its
registration, bye-laws, memorandum of association, articles of association,
photographs of proprietor, partners, directors, copy of PAN card, address
proof of place of business, along with a demand draft for Rs. 10,000/- towards
fees, in case of individual and Rs. 50,000/- other than individual.

2.16. Issuance of Certificate of Registration as Real Estate Agent

As per Rule 11, Certificate of Registration, as Real Estate Agent is required

to be issued by the Authority, in Form ‘H’ for a period of 5 years, whereas
intimation about rejection of application is required to be given in Form ‘I’.

2.17. Provisions for renewal and revocation of registration, as Real Estate

Agent

Rule 12 provides that an application in Form ‘J’ along with updated details as
required under Rule 11, together with demand draft for ½ fees provided
therein, is required to be submitted and in case of renewal, the Authority to
inform the Agent in Form ‘K’, mentioning the renewal period for further 5
years, whereas in case of rejection, to intimate the Agent in Form ‘I’.

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 Rule 13 provides that the Authority may revoke the registration for the
reasons specified under Section 9 (7) of the Act, and intimate the Agent in
Form ‘I’.

2.18. Whether rate of interest is provided, under the General Rules, 2017?

As per Rule 16, the payment of interest under Sections 12, 18, and 19 of the
Act, shall be the contractual rate, even in case of chargeable from the Allottee
also, whereas in case where there is no contractual rate, the rate of interest
shall be the rate which is prevalent, as per existing directives of RBI i.e.
Marginal Cost of Lending Rate (MCLR), the State Bank of India Prime
Lending Rate plus two percent and the effective date shall be from the date of
payment made to the Promoter or from the date of default made by the Allottee
in payment to the Promoter.

2.19. Time limit allotted to Allottee for reviving a refund by Promoter

As provided in Rule 16, the amount of refund together with interest or

compensation, under the Act, Rules or Regulations, is required to be paid by
Promoter to Allottee within the period of 45 days.

2.20. Conditions prescribed for compounding of offences under Section 70 of

the Act

As provided in Rule 19, for compounding of offences punishable under

Sections 59 and 64, 5% amount of the estimated cost of the project, whereas
for offences punishable under Sections 66 and 68, 5% amount of the estimated
cost of the plot, apartment, or building, is required to be recovered from the
accused.

2.21. Method prescribed for implementation of orders, directions, or decisions

As provided in Rule 20, for the purpose of Section 40 (2) of the Act, every
order shall be enforced in the same manner, as if it was a decree or order
passed by the Principal Civil Court in suit proceedings and in case of inability

{30}
to execute, it can be transferred to Civil Court having jurisdiction for its
execution.

{31}
3. The Real Estate (Regulation & Development) (General)
Regulations, 2017:

The segment consists of the general regulations specified by Gujrat Real Estate
Regulatory Authority, in addition to the Real Estate (Regulation & Development)
Act, 2016 and State Government General Rules, 2017. Consisting of procedure for
appointment of officers, establishment of consultants and experts. Publishing of
annual report on statement of accounts on webpage and formats prescribed for
withdrawal of money from the separate bank. Information on conducting the
adjudication proceedings and maintenance of its records by the authority. Prescribed
form and formats related to compliances. Issuance of orders and directions and
inherent powers of the Authority.

Subject Page
numbers

3.1. Date of effect of the Gujarat Real Estate Regulatory 33

Authority (General) Regulations, 2017

3.2. What means by ‘Consultant’? 33

3.3. Formats prescribed for withdrawal of money from 33

separate bank account

3.4. Is it required to submit the hard copy of the 34

Application?

3.5. Is it required, to upload the annual report on statement 34

of accounts on webpage by the Promoter?

3.6. Displaying of approved plans & specification at the 34

project site

3.7. Whether party-in-person may represent his case in 34

Gujarati?

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 3.8. Procedure for appointment of Officers, Consultants, 35
Experts etc., by the Authority

3.9. How to conduct the adjudication proceedings by the 35

Authority?

3.10. Records of the adjudication proceedings maintained by 35

the Authority?

3.11. What about the issuance of orders and directions? 35

3.12. Inherent powers of the Authority 35

3.1. Date of effect of the Gujarat Real Estate Regulatory Authority (General)
Regulations, 2017

These Regulations, 2017 came into force with effect from 7. 9. 2017.

3.2. What means by ‘Consultant’?

As defined in Regulation 2 (vi), Consultant includes any person not in the

employment of the Authority, who may be appointed as such, to assist the
Authority, on any matter required to be dealt with by the Authority under the
Act, Rules and Regulations.

3.3. Formats prescribed for withdrawal of money from separate bank

account
Regulation 3 provides Form No. 1, 2 and 3, for Certificates to be issued by
the Architect, Engineer and Chartered Accountant respectively, for
withdrawal of amount from the separate bank account during progress of
work, whereas Form 4 for withdrawal of the amount, after completion of the
building or wing of the project.

Similar Certificates are provided under Regulation 3-A, for plotting Project
and Occupancy Certificate Form 4-A to be issued by the Project Architect.

{33}
3.4. Is it required to submit the hard copy of the Application?
Section 4 and Section 9 of the Act, Regulation 3-B provides that every
application under Section 4 and Section 9 of the Act shall be submitted online
as well as in hard copy, with all the details and the documents to the Authority
and such hard copy, to be submitted at least within a period of 7 days, from
the date of online application.

3.5. Is it required, to upload the annual report on statement of accounts on

webpage by the Promoter?

As provided in Regulation 4, the annual report on statement of accounts, in

Form 5, in accordance with the third proviso to Section 4 (2) of the Act, duly
certified and signed by the Chartered Accountant, is required to be uploaded
on webpage by the Promoter.

3.6. Displaying of approved plans & specification at the project site

Regulation 5 provides that the sanctioned plans, layout plans, along with
specifications, approved by the Competent Authority shall be prominently
displayed by the Promoter, at the project site.

3.7. Whether party-in-person may represent his case in Gujarati?

Regulation 9 provides that the proceedings of the Authority shall be conducted

in English, provided that the Authority shall allow any person to plead or
represent his case in Gujarati.

Regulations 10 and 11 provide that the Authority has discretion to accept the
Complaint, either in English or in Gujarati, with a direction to submit
translation thereof, in English.

Regulation 12 further provides that the Authority may direct to provide

translation of Petitions and the documents in to English or Gujarati.

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3.8. Procedure for appointment of Officers, Consultants, Experts etc., by the
Authority

Regulation 14 provides that the Authority shall have the powers to appoint the
Secretary, Officers, employees for discharging various duties and also to
appoint Consultants, Lawyers, Experts to assist the Authority, in the discharge
of its functions.

3.9. How to conduct the adjudication proceedings by the Authority?

Regulation 25 provides that the Authority by general or specific order may

direct that specific matters or issues, other than the matters fall under Sections
12, 14, 18 and 19 of the Act, be heard and decided by a single bench of either
the Chairperson or any Member of the Authority.

3.10. Records of the adjudication proceedings maintained by the Authority?

As per Regulation 30, the Authority shall maintain an indexed database of its
records including, complaints filed, details of hearings conducted, and
orders/documents issued from time to time.

3.11. What about the issuance of orders and directions?

Regulation 39 provides that subject to the provisions the Act, Rules and
Regulations, the Authority may, from time to time, issue orders and directions,
in regard to the implementation of the Regulations and procedure to be
followed, as it deems fit.

3.12. Inherent powers of the Authority

Regulation 40 provides that nothing in the Regulations shall be deemed to

limit or otherwise affect the inherent powers of the Authority, to make such
orders, as may be necessary for meeting the ends of justice or to prevent the
abuse of the process of the Authority.

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4. The Real Estate (Regulation & Development) (Appellate
Tribunal) Rules, 2016:

The following segment consists of directions related to the rules specified by the
State Government related to Appellate Tribunal under the Real Estate (Regulation
& Development) Act, 2016. It comprises of information on filing an appeal,
selection procedure of chairperson/members and establishment of the appellate
tribunal as well as powers of the chairperson and additional powers of Appellate
Tribunal.

Subject Page
numbers

4.1. Date of effect of the Gujarat Real Estate (Regulation 36

and Development) (Matters Relating to the Gujarat Real
Estate Appellate Tribunal) Rules, 2016

4.2. Procedure for filing an Appeal before the Appellate 37

Tribunal

4.3. Selection procedure of Members of the Appellate 37

Tribunal

4.4. Additional powers of Appellate Tribunal 37

4.5. Administrative powers of the Chairperson of the 37

Appellate Tribunal

4.1. Date of effect of the Gujarat Real Estate (Regulation and Development)
(Matters Relating to the Gujarat Real Estate Appellate Tribunal) Rules,
2016

These Rules came into force with effect from 29. 10. 2016.

{36}
4.2. Procedure for filing an Appeal before the Appellate Tribunal
As provided in Rule 3, an Appeal is required to be filed in Form ‘A’, along
with an attested true copy of the order under challenge, documents which are
relied upon and referred to in the Appeal, and the index of the documents,
together with a demand draft for Rs. 1,000/- towards fees.

4.3. Selection procedure of Members of the Appellate Tribunal

As per Rule 4 of the Rules, the Government to make reference to the Selection
Committee, on receipt of such reference, the Selection Committee, after
following the procedure as deemed fit, including appointment of Search
Committee, shall have to suggest a panel of names i.e. two names for each
vacancy, within a period of sixty days, and then the Government, within thirty
days, shall have to select one of them, for the vacancy.

4.4. Additional powers of Appellate Tribunal

As per Rule 8, the Appellate Tribunal, in addition to the powers specified in

the Act, shall have the powers to call upon any experts or consultants from the
fields of economics, commerce, accountancy, real estate, competition,
construction, architecture or engineering or from any other discipline to assist
the Tribunal in the conduct of any inquiry or proceedings.

4.5. Administrative powers of the Chairperson of the Appellate Tribunal

Chairperson under Rule 9, has powers pertaining to staff strength, wages,

salary, perquisites, personal polices, creation and abolition of posts,
appointments, promotions and confirmation, acceptance of resignations,
authorization of tours, medical bills, leaves, hiring of vehicles, nominations
for seminars, conferences and trainings, staff welfare expenses, scraping of
assets, disciplinary actions, etc.

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5. The Real Estate (Regulation & Development) (RERA)
Matters Relating to the Real Estate Regulatory Authority
Rules, 2016:

The following segment consists of directions related to the rules specified by the
State Government about administrative matters of the authority in relation to the
Real Estate (Regulation & Development) Act, 2016. It deals with the selection
procedure and administrative powers of the chairperson of the Authority;
information on additional powers of the authority, recovery of penalty, interest and
compensation amount charged and publishing information on website. It further lays
down the procedure for filing a complaint in the Authority, or holding of an inquiry
by the authority. Relevant rules for annual statement of accounts, and annual
report/return of RERA are also laid down.

Subject Page
numbers

5.1. Date of effect of the Gujarat Real Estate (Regulation 39

and Development) (Matters Relating to the Real Estate
Regulatory Authority) Rules, 2016

5.2. Procedure for selection of Chairperson and Members of 39

the Authority

5.3. Administrative powers of the Chairperson of the 39

Authority
5.4. Additional powers of the authority 40

5.5. Recovery of penalty, interest and compensation amount 40

5.6. Rules for publishing information on website 40

5.7. How to file a Complaint in Authority? 40

5.8. Procedure of holding an inquiry by the Authority 40

{38}
 5.9. Filing complaint for compensation before the 41
Adjudicating Officer

5.10. Procedure for holding an inquiry by the Adjudicating 41

Officer

5.11. Annual statement of accounts of RERA 41

5.12. Annual repot/return of RERA 42

5.1. Date of effect of the Gujarat Real Estate (Regulation and Development)
(Matters Relating to the Real Estate Regulatory Authority) Rules, 2016

These Rules under the Act, came in to force, with effect from 29. 10. 2016

5.2. Procedure for selection of Chairperson and Members of the Authority

As per Rule 3 of the Rules, the Government to make reference to the Selection
Committee, on receipt of such reference, the Selection Committee, after
following the procedure as deemed fit, including appointment of Search
Committee, shall have to suggest a panel of names i.e. two names for each
vacancy, within a period of sixty days, and then the Government, within thirty
days, shall have to select one of them, for the vacancy.

5.3. Administrative powers of the Chairperson of the Authority

Chairperson under Rule 5, has powers pertaining to staff strength, wages,

salary, perquisites, personal polices, creation and abolition of posts,
appointments, promotions and confirmation, acceptance of resignations,
authorization of tours, medical bills, leaves, hiring of vehicles, nominations
for seminars, conferences and trainings, staff welfare expenses, scraping of
assets, disciplinary actions, etc.

{39}
5.4. Additional powers of the authority
As per Rule 8, the Authority, in addition to the powers specified in sub-section
35 of the Act, shall have the powers to require the Promoter, Allottee, or Real
Estate Agent, to furnish required information or documents, and to requisite
any public record or document or copy thereof, to call upon any
experts/consultants to assist, and to inquire about payment of amount imposed
as penalty, interest or compensation.

5.5. Recovery of penalty, interest and compensation amount

Rule 9 provides that the due amount of the penalty, interest and compensation
to be recovered, as arrears of land revenue, in the manner provided in the
Gujarat Land Revenue Code, 1879.

5.6. Rules for publishing information on website

Rule 10 prescribes in which manner, the required information to be published

on website.

5.7. How to file a Complaint in Authority?

Rule 11 (1) of the Rules, 2016 provides that any aggrieved person may file a
Complaint in Form ‘A’ (except for compensation) with the Authority, along
with a fee of rupees one thousand in the form of demand draft, for violation
any provisions of the Act, Rules and Regulations.

5.8. Procedure of holding an inquiry by the Authority

As provided in Rule 11 (2), the Authority shall follow summary procedure

and firstly, to issue notice along with particulars and documents to the
Respondent, secondly, on appearance of Respondent, to explain the alleged
contravention to him and in case he pleads guilty, to pass appropriate order
about penalty, or in case of denial, ask explanation about alleged
contravention, thirdly, if the explanation found satisfactory, may pass order to
dismiss the Complaint, or if needed, direct the parties to produce further
documents or evidence, fourthly, after receipt of required documents or
{40}
 evidence, may pass appropriate order either for penalty or dismissal of
Complaint. However, where any party though duly informed, remained
absent, the Authority shall have the power to proceed further, in absence of
such party.

5.9. Filing complaint for compensation before the Adjudicating Officer

Rule 12 (1) of the Rules, 2016 provides that any aggrieved person may file a
Complaint in Form ‘B’ with the Adjudicating Officer, along with a fee of
rupees one thousand in the form of demand draft, for compensation or interest,
for violation of the relevant provisions of Sections 12, 14, 18 and 19 the Act.

5.10. Procedure for holding an inquiry by the Adjudicating Officer

As provided in Rule 12 (2), the Adjudicating Officer shall follow summary
procedure and firstly, to issue notice along with particulars and documents to
the Respondent, secondly, on appearance of Respondent, to explain the
alleged contravention to him and in case he pleads guilty, to pass appropriate
order about compensation, or in case of denial, ask explanation about alleged
contravention, thirdly, if the explanation found satisfactory, may pass order to
dismiss the Complaint, or if needed, direct the parties to produce further
documents or evidence, fourthly, after receipt of required documents or
evidence, may pass appropriate order either for compensation or dismissal of
Complaint. However, where any party though duly informed, remained
absent, the Adjudicating Officer, shall have the power to proceed further, in
absence of such party.

5.11. Annual statement of accounts of RERA

As per Rule 13, the Authority shall have to prepare a budget, to maintain
proper accounts and other relevant records and also to prepare an annual
statement of accounts, as provided in Section 77 of the Act, as per prescribed
Form ‘C’.

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5.12. Annual repot/return of RERA
As per Rule 14, the Authority shall have to prepare its annual report, as
provided in Section 78 of the Act, as per prescribed Form ‘D’.

***** ***** *****

Date: 26. 05. 2021 Prepared by,

[P. R. Patel]

Adjudicating Officer,

RERA, Gandhinagar.

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