Court issues non-bailable warrants against directors of GBP group

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Chandigarh, May 9

Court of Chief Judicial Magistrate has issued non-bailable warrants against directors of the Gupta Builders and Promoters Private Limited (GBP) group Satish Kumar Gupta, Pradeep Kumar Gupta and Raman Kumar Gupta after they again failed to appear before the court in connection with a complaint filed against them by the Real Estate Regulatory Authority (RERA), Punjab .

The authority filed the criminal complaint in November 2021 through advocate Siddharth Pandit to prosecute the directors for non-compliance with its order issued under the RERA Act.

In the complaint, RERA has alleged that the developer has violated the RERA Act with the City Central Project situated at Kishanpur village in Dhakoli, Zirakpur. Siddharth Pandit argued that RERA imposed a penalty of Rs 75 lakh on the builder on May 6, 2019, for launching the project without its approval.. But the builder has paid only two instalments of Rs 5 lakh each and then defaulted. Thus they failed to comply with the order and are liable to be punished under section 59 (2) of the RERA Act.

The criminal complaint has been filed under section 80 to summon the directors of the company and to prosecute them under the RERA Act. The section 3 of the Act makes it mandatory for the promoters to get a prior registration of the real estate project with RERA and imposes a bar upon promoters to advertise, market, book, sell or offer for sale, or invite persons to purchase in any manner any plot, apartment or building without registration. As per the Act, the violation of the order of RERA invites imprisonment for a term which may extend up to three years or with fine which may extend up to a further 10 per cent of the estimated cost of the real estate project, or with both.

The court on the earlier date of hearing had issued bailable warrants against the accused.

Project launched ‘without approval’

In the complaint, RERA has alleged that the developer has violated the RERA Act with regard to the City Central Project situated at Kishanpur village in Dhakoli, Zirakpur. The counsel for the authority, Siddharth Pandit, argued that RERA imposed a penalty of Rs 75 lakh on the builder on May 6, 2019, for launching the project without its approval..