Penalty order on M/s D.N.S. Infra project name DNS Iconia.

BEFORE THE TELANGANA STATE REAL ESTATE REGULATORY
AUTHOIRTY, HYDERABAD

4th THURSDAY THE 9th DAY OF JANUARY TWO THOUSAND TWENTY FOUR
Suo-moto Complaint No.07/08/TSRERA/2023
Suo - moto registered

…… Complainant

And
D. N. S. Infra
Rep. by its Managing Partner
Sri. Nagendra Reddy T. C.
Quorum:

……. Respondent

Dr.N.Satyanarayana, Hon’ble Chairperson
Sri.Laxminarayana Jannu, Hon’ble Member
Sri.K.Srinivasa Rao, Hon’ble Member
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This case has come up for hearing on 4.01.2024 and after considering
the issue the Authority passed the following order.
ORDER
This is a case of violation of provisions under section 3(1) of the
Telangana State Real Estate (Regulation & Development) Act, 2016 (herein after
called ‘the Act’) by D.N.S.Infra, Rep. by its Managing Partner Sri.Nagendra
Reddy T.C.
2.

It has come to the notice of this Authority that the Promoter / Developer

viz. D.N.S.Infra, Rep. by its Managing Partner Sri.T.C.Nagendra Reddy has
advertised, marketed and invited the persons to purchase the flats in the
project namely “ DNS ICONIA” located at Suchitra Circle, Qutbullapur Road,

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On noticing the violation by the Promoter, D.N.S.Infra, Rep. by its

Managing Partner Sri.T.C.Nagendra Reddy was issued a show cause notice
dated 16.08.2023 to submit explanation as to why the Authority shall not levy
penalty under section 59 of the RE(R&D) Act 2016 for violation of Section 3(1)
of the Act. But since the promoter did not submit any reply in support of his
claim another notice dated 28.10.2023 was issued calling explanation within
(10) days from the date of receipt of the notice.
4.

In response to the notice dated 28.10.2023 the Managing Partner, Sri. T.

Nagendra Reddy and another partner have submitted reply petition on
07.11.2023 contending that they took all necessary permissions and approvals
in the name of land owner and started construction work, but as the land
owner was not available in India from 10.05.2023 to 12.10.2023, Development
Agreement cum General Power of Attorney could not be executed and however
on return back to India the same is executed on 02.11.2023 with Regd.
Doc.No.29538/2023. Further he contended that till date they have not done
any agreement of sale and sale deeds to any customer and that erected a small
size board inside the site premises and printed some pamphlets for their
company internal purpose, but not made any marketing promotions.
5.

The explanation of the promoter has been examined with reference to

material available on record and observed that the averments of the Promoter
that no marketing promotions were made is incorrect. In fact the broachers of
the project are circulated in the market offering sale of flats way back from
August

2023,

without

registration

of

the

project

with

TG

RERA

in

contravention of sub section (1) of Section 3 of the RE (R&D) Act. Hence the
promoter is liable for penalty.

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Accordingly, the D.N.S. Infra, Rep. by its Managing Partner Sri. T. C.

Nagendra Reddy is imposed a penalty of Rs.6,02,072/- (Rupees six lakhs two
thousands and seventy two only) and directed to pay the same in favour of TS
RERA funds through Demand Draft or online payment to A/c. No.
50100595798191, HDFC Bank, IFSC code: HDFC0007036 under section 59(1)
of RE(R&D) Act, 2016 within (15) days from the date of receipt of this order.
Failing which necessary steps will be taken under section 59(2) of the Act.
6.

This order lies to appeal before the T.S. Real Estate Appellate Tribunal.

The Govt. Vide G.O.Ms.No.8, MA&UD (Plg.III(1)), Dept., dated:11.01.2017,
designated the Telangana State Value added Tax Appellate Tribunal as TS Real
Estate Appellate Tribunal to manage the affairs under RE (R&D) Act till the
regular Tribunal is established.
Dated this the 4th day of January, 2024.
Sd/........…………………………….........
Sri.Laxminarayana Jannu, Hon’ble Member
Sd/…………………………….................
Sri.K.Srinivasa Rao, Hon’ble Member
Sd/…………………………….................
Dr.N.Satyanarayana, Hon’ble Chairman

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