Real Estate Regulatory Bill to be brought in monsoon session

MUMBAI: The Maharashtra government is contemplating introducing a Real Estate Regulatory Authority Bill in the ensuing monsoon session of the State Legislature beginning later this month.

The Authority will be an autonomous body with civil judicial powers headed by a retired judge or magistrate.

Minister of State for Housing, Sachin Ahir said the Authority will function under the purview of the Maharashtra Ownership of Flats Act (MOFA).

"MOFA exists but there is no implementing agency except the city civil court for the provisions of the Act. This Authority can function like one," Ahir said.

The Authority can be a redressal forum for developers as well as the tenants or flat owners. "The provisions will be binding on all parties," he said.

The issue of real estate prices will not be included. MOFA does not deal with pricing. There is lot of variation between Ready Recknor rates and market prices. Similarly, there are different prices for different city survey plots.

"Our department is keen to get the draft bill approved in the cabinet before tabling it in the monsoon session," he said.

Ahir said the scope of the Bill can be expanded like the Authority can be considered as Appellate for issue of deemed conveyance.

"Similarly, a breach of trust clause can be included for carpet area, recreation area as promised by the developer. Appropriate penalty will be levied for those who violate provisions of the Act," he said.