ATS barred from charging maintenance fee until occupancy certificate issued

In a significant development for residents of ATS Golf Meadows Lifestyle, the Sub-Divisional Magistrate (SDM), Dera Bassi, has directed ATS Estate Pvt Ltd, Barwala Road, not to charge maintenance fees until a full Occupation Certificate is obtained from the competent authority or a Resident Welfare Association (RWA) is formed, as per Section 5(13) of the Punjab Apartment and Property Regulation Act (PAPRA). Until these conditions are met. The real estate firm has been directed to provide maintenance facilities at their own cost till the occupation certificate is taken.

The directive came in response to a complaint filed by Amarjeet Singh and other residents of ATS Golf Meadows Lifestyle, who had approached the Additional Deputy Commissioner (Urban Development), SAS Nagar, on August 21.

Summons were issued to parties for hearing during which the complainant were present but the respondents failed to attend. The petitioners urged that the developer be issued directions not to hand over an incomplete clubhouse or charge any maintenance fees for clubhouse or common area facilities till the issuance of the Occupation/Completion Certificate and Fire Safety Certificate from the competent authority.

“The respondents are not entitled to hand over possession or charge maintenance fees till the issuance of the Completion/Occupancy Certificate from the competent authority. Further, under the Municipal Bye-laws, possession cannot be given without an Occupancy Certificate,” the SDM’s order read.

“The respondents are not entitled to charge any maintenance. Instead, they have to upkeep and maintain all common facilities at their own cost till five years from the issuance of the Completion/Occupancy Certificate,” the SDM added.