Gurugram: RERA to take tough action over non-filing of annual audit report

Gurugram, February 25

The Real Estate Regulatory Authority (RERA), Gurugram, has issued a warning to all defaulter promoters to file Quarterly Progress Report (QPR) and Annual Audit Report (AAR) or face penalty. Earlier this week, the authority initiated a drive by calling such promoters and asking them to comply with the regulations.

“In case the persuasion fails to work, RERA, Gurugram, shall be compelled to take drastic action against such promoters. This may entail levying of penalties, freezing of their RERA accounts, attachment of properties, etc,” read a statement issued by RERA.

The authority has appealed to all its promoters to abide by stipulations and discharge their legal obligations.

Filing QPR and AAR by real estate promoters is a mandatory requirement under the RERA Act, 2016. This measure aims to ensure the efficient and transparent progress of construction projects and the proper utilisation of funds, ultimately leading to better regulation of the real estate sector.

However, in practice, many RERAs across the country are struggling to ensure timely submission of these reports by all parties concerned. “QPR provides valuable insights into the status of the project and can serve as an early warning, helping to prevent undesirable outcomes if addressed promptly,” said the statement.

While a significant number of promoters comply with these requirements and deliver projects either on time or with minor delays, another category consists mainly of pre-RERA projects. These projects have obtained Occupancy Certificates (OC), completed possession handovers and executed conveyance deeds, posing fewer concerns.

“However, the promoters who have delayed or defaulted, and show reluctance to complete projects, are the ones often neglecting to file QPR and AAR,” highlighted Chairman Arun Kumar. Earlier, on February 14, Kumar conducted inspections of all stalled projects, involving tens of thousands of homebuyers awaiting completion and handover of their dream homes.