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In a significant move to uphold regulatory compliance, Telangana RERA has penalised the promoters of a residential project in Medchal-Malkajgiri district for constructing an unregistered apartment and violating key project approvals. The penalty, amounting to ₹2.85 lakh, also comes with strict directives to limit parking facilities to the number of sanctioned housing units.
Violation of RERA Norms: Project Non-Registration and Parking Irregularities
The penalised project, Showri Pearl, came under scrutiny following a complaint from a resident alleging non-compliance with Telangana RERA norms. According to the complaint, the project was not registered under Sections 3 and 4 of the Real Estate (Regulation and Development) Act, 2016 a mandatory requirement for all real estate projects. The promoter was therefore penalised under Sections 59 and 60 of the Act.
In addition to non-registration, the Authority found that the developer had demarcated 20 car parking slots despite approval for only 15 residential units. TGRERA directed the builder to limit the number of marked parking spots to match the approved number of flats and advised the Apartment Owners Association to ensure equitable and amicable allocation among residents.
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Background: Complaint Highlights Multiple Violations
The case originated from a formal complaint lodged by allottee Manepally Krishnaveni. The buyer raised several concerns, including:
- Construction of an unauthorised fourth floor beyond the approved three floors
- Creation of five extra flats, bringing the total to 20 instead of the sanctioned 15
- Provision of 20 parking slots, whereas the approved layout included only nine
- Non-disclosure of critical plans such as drainage and electrical layouts
- Alleged structural issues in the building, including visible cracks
The complainant also described difficulties due to unassigned parking and eventual congestion caused by excess parking slot markings. Their designated space was obstructed by placement near the watchman’s room, complicating vehicle movement.
Builder's Response and RERA's Findings
The developers, Aduri Prathap Reddy and Bommidi Srinivas Rao, countered the allegations by stating that the buyers were fully informed during the purchase process and had approved the flat and parking arrangements. They also claimed to have obtained necessary clearances from the Godhumakunta Grampanchayat.
However, an inspection by the Authority confirmed that the builder exceeded approved limits. TGRERA stated, "To avoid overcrowding and to ensure optimal utility of space, the developer shall restrict the number of car parking slots to 15, in accordance with the number of sanctioned residential units."
No Evidence of Structural Defects, Says Authority
While the complainant alleged cracks and potential structural hazards, Telangana RERA concluded that the evidence did not establish any defect as per Section 14(3) of the RERA Act. The Authority advised residents to document such issues carefully and notify the developer in writing for further resolution.
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Upholding Compliance and Protecting Homebuyers
This action by Telangana RERA underscores its commitment to ensuring developers adhere strictly to approved plans and registration norms. By penalising unauthorised construction and misuse of parking areas, the Authority continues to safeguard the interests of homebuyers and uphold transparency in real estate transactions.
As more buyers turn to RERA for redressal, the Showri Pearl case sets a precedent on the importance of compliance and accountability within the real estate sector.
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Ans 1. Telangana RERA imposed a ₹2.85 lakh penalty on the developer for not registering the project under RERA and for creating 20 parking slots despite approval for only 15 units, violating building norms.
Ans 2. The buyer, Manepally Krishnaveni, complained about unauthorised construction of an extra floor, five additional flats, excess parking slots, missing layout disclosures, and structural issues like visible cracks.
Ans 3. The builder claimed buyers were aware of the property details and that all approvals were obtained from the local panchayat, denying any wrongdoing.
Ans 4. RERA confirmed the builder exceeded approved limits and ordered that parking slots be restricted to 15 to match the sanctioned flats, ensuring better space utilisation.
Ans 5. No. While the buyer raised concerns about cracks, RERA found no solid evidence under Section 14(3) to establish structural defects, but advised residents to report such issues in writing.
Ans 6. It reinforces the importance of adhering to approved plans and RERA registration. The case highlights RERA’s role in ensuring transparency and protecting homebuyers' rights.
Ans 7. Buyers should document issues clearly, notify the builder formally, and file a complaint with RERA if unresolved. Verifying a project’s RERA registration before buying is also essential.
Ans 8. RERA registration ensures the builder follows legal and approved norms, giving buyers better protection and legal recourse in case of delays, misrepresentation, or non-compliance.