Order Details
| Order Type | Suo Motu |
|---|---|
| Order Date | 24 Feb 2025 |
| Developer/Promoter | M/s Vijay's J.B. Infra Group |
| Project Name | ORDER |
| PDF Document | Download PDF BU_290325124841127.pdf |
Full Order Text
BEFORE TELANGANA REAL ESTATE REGULATORY AUTHORITY
[Under the Real Estate (Regulation and Development) Act, 2016]
SUO - MOTO - CASE NO.6037/2024
24th of February 2025
Coram:
Dr. N. Satyanarayana, IAS (Retd.), Hon'ble Chairperson
Sri K. Srinivasa Rao, Hon'ble Member
Sri Laxmi Narayana Jannu, Hon'ble Member
M/s Vijay's J.B. Infra Group
….PROMOTER/RESPONDENT
Terra Green Hills
….PROJECT NAME
ORDER
The present suo motu case has been taken up by the Telangana Real Estate
Regulatory Authority (TGRERA) in the exercise of powers conferred under
Section 35(1) of the Real Estate (Regulation and Development) Act, 2016
(hereinafter referred to as the "RE(R&D) Act, 2016") against the Respondent for
advertising, marketing, selling, and inviting prospective buyers to purchase plots in
its project "VJB's Terra Green Hills" situated at Tupranpet, through a brochure
without obtaining mandatory registration with the
Telangana Real Estate
Regulatory Authority.
2.
Pursuant to the said advertisement and in the exercise of powers under
Section 35(1) of RE(R&D) Act, 2016, Show Cause Notices dated 28.12.2024 and
04.01.2025 were issued to the Respondent-Promoter, directing them to submit an
explanation within seven (7) days from the date of receipt of the notice as to why
the Authority should not impose a penalty under Sections 59 and 60 of the
RE(R&D) Act, for contravening Sections 3(1) and 4(1) of the RE(R&D) Act. However,
the
Respondent
failed
to
submit
any explanation.
Subsequently,
another
Notice bearing No. C/6037/TGRERA/2024, dated 16.01.2025, was issued to the
Respondent-Promoter, directing them to appear before the Authority for a hearing
scheduled on 18.01.2025. No appearances were made before this Authority.
1 of 4
However, in response to the notice dated 04.01.2025, the Respondent
submitted a reply on 20.01.2025, stating that SVR Real Estate Traders,
represented by its Managing Partner, E. Bhaskar Rao, had obtained layout
permission for land bearing Sy. No. 12/P, 13, 14, 17/P, 18/P at Tupranpet Village,
Choutuppal Mandal, Yadadri Bhuvanagiri District, vide LP No. 26/91, covering an
extent of Ac.106.21gts and comprising 1,158 plots situated at SVS Nagar Colony,
Malkapur Grampanchayat, Toopranpet Mandal, Yadadri Bhuvanagiri District. The
Respondent further contended that the original owners had converted the said land
from agricultural to non-agricultural use in 1990 and that the layout was
sanctioned in 1991. The Respondent asserted that, as it was an old layout, a
substantial portion of the plots had already been sold, and they were willing to
comply with the statutory requirements under the Act, 2016, if necessary, and
requested the withdrawal of the notice.
4.
The Respondent has also submitted a reply on 13.02.2025 stating that,
M/s SVS Real Estate Traders, rep. by its Managing Partner Mr. E.Bhaskar Rao,
originally promoted the layout "Terra Green Hills" and obtained final layout
proceedings vide. 19369/89D8 dated 31.01.1991. They sold the some of the plots
and
kept
the
unsold
units.
M/s
Terra
Green
Hills
sister
concern
of
"Vijay JB Infra Group", represented by Mr.Ch. Vijay Kumar, entered into an
agreement of sale with M/s SVS Real Estate Traders, GPA holder, M/s LPF Systems
Private Limited, consisting of 418 plots on an "as is where is” basis out of
1,20,000 Sq.yards property. The Company is in the process of acquiring additional
land adjacent to an existing project and plans to seek HMDA approval as a single
project, which leads to misrepresentation and confusion among public. He also
asserted that Vijay's JB Infra Group is marketing the VJB's Terra Green Hills
project, which is an older project, according to Section3(2) Clause (b) of the
RE(R&D) Act, this project received final layout approval prior to the Act's
commencement, and not subject to RERA Regulations. The Respondent also
submitted affidavit declaring that, they are offering to sell existing layout units,
which were approved by the DTCP in the year 1991 vide L.P.No.19369/89DB
dated 31.01.1991 for an extent of 418 plots without modifying the original
structure of the layout and without making any additional to the approved layout.
2 of 4
The Authority has examined the brochure through which the Respondent
has been advertising and marketing the plots, as well as the reply submitted by the
Promoter. The Promoter, in its reply, claimed that the project "Terra Green Hills” is
not registered with RERA as it pertains to an old layout. However, the brochure
issued by M/s Vijay's J.B. Infra Group explicitly states that the project is registered
with TGRERA, which constitutes a clear misrepresentation to the public at large
and amounts to a violation of Section 3(1) of the RE(R&D) Act, 2016.
6.
The Respondent-Promoter has also contended that, since the layout was
approved long ago by the competent authority, the provisions of the RE(R&D) Act,
2016, are not applicable. However, Section 3(2) of the RE(R&D) Act provides for
certain exceptions to project registration. Specifically, Section 3(2)(c) states that
projects undertaken solely for the purpose of renovation, repair, or redevelopment,
which do not involve marketing, advertising, selling, or new allotment of any
apartment,
plot,
or
building,
are
exempt
from
registration
requirements.
Furthermore, the Explanation to Section 3(2) stipulates that, where a real estate
project is to be developed in phases, each phase shall be treated as a standalone
real estate project requiring separate registration under the RE(R&D) Act, 2016.
7.
In the present case, as evident from the brochure of M/s Terra Green Hills,
the Respondent is redeveloping the layout by constructing a "Club House” with a
swimming pool and is actively advertising, marketing, and inviting the public to
purchase plots. Accordingly, the project falls within the ambit of the Act and is
mandatorily required to be registered under RERA.
8.
In view of the foregoing, the Authority finds that the Respondent has
contravened the provisions of Sections 3(1) and 4(1) of the RE(R&D) Act, 2016, in
respect
of
the
project
"M/s
Terra
Green
Hills”,
situated
at
Malkapur
Grampanchayat, Toopranpet Mandal, Yadadri Bhuvanagiri District, and is,
therefore, penalty is levied against the Respondent/promoter for contravening the
aforementioned section.
9.
Considering the clear contravention of
Sections 3 and 4 of the RE(R&D),
Act, 2016, this Authority, exercising its powers under Sections 59 & 60 of the said
Act, imposes a penalty of Rs. 2,00,000/-(Rupees Two lakhs only) to the
3 of 4
or
online
payment
to
A/c
No.
50100595798191,
HDFC
Bank,
IFSC Code: HDFC0007036, within 45 days of receipt of this order by the
Respondent/Promoter.
10.
Further, the Respondent promoter is restrained not to advertise, market,
book, sell or offer for sale, or invite persons to purchase in any manner apartment
or building, as the case maybe, in the said project or part of it.
Sd/Sri. K. Srinivas Rao,
Hon’ble Member
TG RERA
Sd/Sri. Laxmi NaryanaJannu,
Hon’ble Member
TG RERA
Sd/Dr. N. Satyanarayana, IAS (Retd.),
Hon’ble Chairperson
TG RERA
4 of 4
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