Indian real estate tribunals clarify regulatory authority and developer obligations

Real estate appellate tribunals in India have issued significant rulings regarding the scope of regulatory authority and developer obligations.

In Telangana, the RERA Appellate Tribunal ruled that developers cannot evade scrutiny simply by obtaining an Occupancy Certificate (OC). The tribunal emphasized that KSR Togetherments Infra must adhere to the specifications promised in marketing brochures and comply with fire-safety norms. It clarified that RERA maintains supervisory powers even after a project is completed to ensure developers meet regulatory requirements and promised commitments.

In Tamil Nadu, the TN Real Estate Appellate Tribunal (TNREAT) ruled that the state's regulatory authority (TNRERA) lacks the jurisdiction to act against builders for deviations from approved building plans. The tribunal set aside an order involving Newry Properties Private Limited, stating that only the relevant planning authority, such as the Chennai Metropolitan Development Authority (CMDA), has the power to initiate action regarding statutory plan violations.