UP builders may face fine up to Rs 7 crore for RERA Act violation

The Real Estate Regulatory Authority (RERA) of Uttar Pradesh has issued show cause notices to ten developers for promoting under construction projects without RERA registration. Five notices have been issued to builders in NCR while five to builders in Lucknow, with the penalty amount ranging between R 3 lakh to R 7 crore.

Before issuing the notice, all the promoters were given three months time. UPRERA’s Technical Team inspected the Promoter’s project sites for fact finding. Advertisements were also given in the newspapers for creating awareness among Homebuyers.

“All these promoters were found to violate the Act by continuing with the construction and promotions of their respective projects even after their registration got lapsed. This is the violation of section 3 of the Act, under section 59 the promoter will be liable to a penalty which may be upto 10 percent of the estimated cost of the project,” said a UP RERA official.


The promoters have been asked to present with their justifications and documents on 11 and 18 March. The builder might face fine up to R 7 crore.