Penalty Order Complaint No. 299 of 2024
Order Details
| Order Type | TG-RERA Authority |
|---|---|
| Complaint/Case Number | Complaint No. 299 of 2024 |
| Year | 2024 |
| Order Category | Penalty Order |
| Order Date | 21 Feb 2026 |
| Complainant | Hyderabad, 500089 |
| Respondent | 2.U. Mahesh Kumar, Managing Partner |
| PDF Document | Download PDF BU_220226153324787.pdf |
Full Order Text
BEFORE TELANGANA REAL ESTATE REGULATORY AUTHORITY
[Under the Real Estate (Regulation and Development) Act, 2016]
CC No.299/2024(Penalty Order)
Date: 21st February 2026
Quorum:
Dr. N. Satyanarayana, IAS (Retd.), Hon’ble Chairperson
Sri K. Srinivasa Rao, Hon’ble Member
Sri Laxmi Narayana Jannu, Hon’ble Member
Ch. Venkateswara Rao
R/o- Door No. 2-65/AA Flat No. 718/818,
Ace Altantis Khajaguda,
Hyderabad, 500089
…Complainant
Versus
M/s Green Space Properties
R/o- 6-39/1, Padmavathi Colony,
Yenugonda Mahabub Nagar, Telangana-509001
Rep. by 1.Kundeti Ravi Chandra Babu, Managing Partner
2.U. Mahesh Kumar, Managing Partner
...Respondent
ORDER
The above-mentioned Complaint No. 299 of 2024 was filed by the Complainant before the
Telangana Real Estate Regulatory Authority (hereinafter referred to as “the Authority”) against
the Respondents in respect of the project “ Green Space Bagiratha”, situated at Survey No. 18/P,
Aurangabad Village, Havelighanpur Mandal, Medak District, admeasuring a total layout extent
of 4.04 acres, seeking the following reliefs:
I.
To complete the project (Green Space Bagiratha), as per the norms of the brochure,
and get the NOC and display the DTCP Draft Layout Plan with TLP No (As per
Clause 15 of the TLP of above reference)
II.
To blacklist the company Green space properties from embarking on any immediate
or future layout, residential complexes, plans for period not less than 6 years or as
deemed fit by the learned bench.
Page 1 of 5
Upon detailed consideration of the pleadings and material placed on record, this
Authority, vide Order dated 30.07.2025, disposed of the complaint with specific and time-bound
directions, inter alia:
I.
The Respondent is directed to complete the development of the project and hand
over possession of the respective plots to the Complainant, strictly in accordance
with the sanctioned plan, within a period of forty (40) days from the date of this
Order.:
II.
For violation of Sections 3 and 4, the Respondent is liable for penalty under
Sections 59 and 60 respectively, therefore, the Respondent is directed to pay a
total penalty of Rs. 3,37,800/-(Rupees Three Lakh Thirty Seven Thousands Eight
Hundred Rupees Only) 10 payable within 30 days in favor of TG RERA FUND
through a Demand Draft or online payment to A/c No. 50100595798191, HDFC
Bank, IFSC Code: HDFC0007036;
III.
The Respondent hereby is also directed to comply with the directions of the
Authority for registration of the Project “Bagiratha” with application no.
REA01000085306 before this Authority in accordance with Section 4 of the
RE(R&D) Act, 2016 and the Rules thereunder with immediate effect and till the
registration is granted by this Authority, the Respondent shall, strictly, not to
IV.
advertise, market, book, sell or offer for sale, or invite persons to purchase in any
manner any units of the project, “Bagiratha”.
V.
The Respondent is specifically directed to prominently display the current status
of the RERA registration of the project, including the registration number once
allotted, at the project site in a clearly visible location. In addition, after the
registration number is allotted, the Respondent shall ensure that the same details
are reflected in all future advertisements, promotional materials, brochures,
digital platforms, and any other form of public communication related to the said
project
The Respondent shall comply with all the applicable rules and regulation and complete
the project as per the sanctioned plan.
Page 2 of 5
It is borne out from the record that the Respondent failed to remit the penalty amount
within the stipulated period of thirty (30) days. Consequently, this Authority issued Notice No.
CC 299/2024 dated 10.09.2025 to the Respondent, directing payment of the penalty amount
imposed under the said Order. However, the Respondent-Promoter failed to remit the said
amount within the stipulated time.
4.
Further, the Complainant filed an application dated 08.11.2025 placing on record that the
Respondent–Promoter has failed to comply with the directions contained in the Order dated
30.07.2025, inasmuch as the development works have not been completed and the other statutory
directions remain unimplemented.
5.
Upon perusal of the material available on record, this Authority finds that the penalty
amount imposed under the said Order remains unpaid. No documentary evidence has been filed
to demonstrate completion of the development works in accordance with the sanctioned plan.
Further, though an application for registration of the project under Section 4 of the RE(R&D)
Act was stated to have been initiated, the Respondent has not complied with the shortfalls
communicated by this Authority, and no proof of rectification has been placed on record.
6.
It is also pertinent to note that the Respondent has neither filed any application seeking
extension of time for compliance nor assigned any reasons whatsoever justifying the delay or
default. The continued silence and inaction on the part of the Respondent clearly establish
persistent non-compliance with the binding directions of this Authority.
7.
Accordingly, a Show Cause Notice No.CC No.299/2024 dated 22.11.2025, under
Section 63 of the RE(R&D) Act was issued to the Respondent calling upon him to explain as to
why action should not be initiated for non-compliance of the Order dated 30.07.2025. Despite
service of notice, the Respondent has neither appeared nor filed any reply. The conduct of the
Respondent indicates conscious and continued non-compliance. Silence in the face of statutory
notice, coupled with continued default, amounts to wilful disobedience. The matter is therefore
proceeded with based on the material available on record.
Page 3 of 5
The Authority cannot permit its orders to be rendered ineffective. The enforcement
mechanism under Section 63 is intended to ensure regulatory discipline and protect the interests
of allottees. Section 63 of RE(R&D) Act, for ready reference:
If any promoter, who fails to comply with, or contravenes any of the orders or directions of the
Authority, he shall be liable to a penalty for every day during which such default continues,
which may cumulatively extend up to five per cent., of the estimated cost of the real estate
project as determined by the Authority.
9.
It is an admitted and undisputed position on record that the Respondent Promoter has not
complied with the directions contained in the Order dated 30.07.2025. The penalty imposed
therein remains unpaid, no material evidencing completion of development has been placed on
record; nor has compliance regarding project registration been demonstrated.
10.
The said Order has attained finality. There is no stay granted by any competent forum.
The Respondent has neither sought extension of time nor offered any explanation for the
continued default.
11.
Non-compliance of a binding order of this Authority strikes at the statutory discipline
contemplated under the RE(R&D) Act. Once default is established and remains unexplained, the
consequence under Section 63 of the RE(R&D) Act follows.
12.
In the present case, the default is continuing and is clearly wilful in nature. Accordingly,
this Authority holds that the Respondent has rendered itself liable for penalty under Section 63 of
the Act for failure to comply with the Order dated 30.07.2025.
13.
In view of the foregoing discussion and in exercise of powers conferred under Sections
34(g), 37, 38 and 63 of the Real Estate (Regulation and Development) Act, 2016, this Authority
hereby orders as follows:
a) The Respondent–Promoter is held liable for non-compliance of the Order dated
30.07.2025 passed in Complaint No. 299 of 2024.
Page 4 of 5
Sd/Sri Laxmi Narayana Jannu,
Hon'ble Member,
TG RERA
Sd/Dr. N. Satyanarayana, IAS (Retd.),
Hon'ble Chairperson,
TG RERA
Page 5 of 5
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