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Gurugram Builder Penalized by HRERA On Its First Day Of Hearing

On its first day of hearing the bench of HRERA in Gurugram penalized a private builder with a fine of INR 30 lakh for violating rules. The bench constituted by its chairman K K Khandelwal, Subhash Chander Kush and Samir Kumar, other members took a suo moto cognizance of the alleged irregularities by Krisumi Corporation Pvt. Ltd., which has a project of estimating around INR 357.11 crore, who published advertisement inviting application for sale without registration with the regulatory body.

On its first day of hearing by Haryana Real Estate Regulatory Authority (HRERA), Gurugram imposed on a private developer a fine of INR 30 lakh for inviting applications for its housing project without getting it registered with the regulatory body. The Gurugram bench of HRERA comprised of its chairman K K Khandelwal, Subhash Chander Kush and Samir Kumar, other members.



The bench took a suo moto cognizance of the alleged irregularities by Krisumi Corporation Pvt. Ltd., a private builder which has a project of estimating around INR 357.11 crore. The bench figured out that the company has infringed the provision of the regulatory body by publishing advertisements in newspapers as well as on websites. They published an advertisement on February 26th on newspaper regarding the first Indo-Japanese mega real estate project named ‘Krisumi City Waterfall Residences, Sector 36A, Gurugram’. A similar advertisement was published on company’s website as well. When HRERA took cognizance, it observed that they did not register the project with Haryana Real Estate Regulatory Authority, Gurugram before publishing the advertisements.


The chairman of HRERA observed that it has been a violation of the Sec. 3(1) of the IBID Act and took action under Sec. 59(1) of the same Act and penalized to pay INR 30 lakh in its first judgment by HRERA in Gurugram after their operations started recently just a month back.


In its reply before HRERA, the company tried to establish the defense that it had issued the advertisement in the newspapers but did not make any attempt to invite application for sale. The advertisement was just made to make the prospective buyers familiar with the project.



There are only 4 judgments on RERA till date, out of which 2 are closed through MyAdvo and the aggrieved parties received their money back successfully from the builders. In a country of 21 crore population, consisting of 8 crore lawyers, the property matters are still a big headache for 4 crore people who are still waiting for getting delivery of their houses.


In a matter of UP RERA, assigned to Adv. Anagh Misra through MyAdvo, appellant complained that he booked a flat on May 2014 which he was supposed to get delivered on Nov 2015 with a grace period of 6 months. For that, he invested 28.53 lakhs, but did not receive the possession on time, and wanted the money back. Though the project was completed as per the report at the time of judgment, the court passed an order for a refund and asked the appellant was asked to apply for the refund of the money following the proper procedure to that purpose. In another case, MyAdvo helped Mr. Sachin Sachdeva to get his money refunded worth INR 6694711, along with a simple interest at a rate of 8.25% on the matter of not getting the possession of the property on time.


For any property dispute, delay in delivery or possession of the property, contact MyAdvo.

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Reviewed by:
Rashmita Das
Published on 28-Mar-18

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