Hyderabad: Selling plots without mandatory RERA registration has landed a Hyderabad-based developer in trouble, with the Telangana Real Estate Regulatory Authority (TG RERA) ordering BVR Infra Developers to refund ₹10.95 lakh with 10.7% annual interest to two buyers who paid the entire amount but neither received their plot nor got a registered sale deed.In its Oct 14 order, the authority also directed its secretary to initiate penalty proceedings against the developer for marketing and selling plots in SV Golden City-III at Kadthal in Rangareddy district without obtaining RERA registration.The complainants, M Sheela and Padma Sreeramulu, had agreed to purchase Plot No. 28 in the venture for ₹10.95 lakh. According to the order, they paid the entire consideration in five cash instalments between Aug and Dec 2022 and entered into an agreement of sale on Feb 13, 2024. However, the developer allegedly failed to complete the project, execute and register the sale deed or hand over possession despite receiving the full payment.The project, promoted by BVR Infra Developers through managing partner B Venkateswarlu, comprised 85 residential plots. Though the developer had obtained tentative layout permission from the Directorate of Town and Country Planning (DTCP), it had not registered the venture with RERA.The authority, comprising Laxmi Narayana Jannu and K Srinivasa Rao, held that DTCP layout permission did not exempt the promoter from mandatory RERA registration before advertising, marketing or accepting payments from buyers. The proceedings were conducted ex parte after the developer failed to appear despite service of notices.TG RERA directed the developer to refund ₹10.95 lakh with 10.7% annual interest, calculated separately from the dates of the five payments until actual refund, within 30 days of receiving the order. It directed initiation of penalty proceedings under Section 59 for violating Section 3 of the RERA Act. Failure to comply with the refund order could attract further action under Section 63. The buyers were also given liberty to approach the adjudicating officer under Section 71 for compensation for mental agony, hardship and financial loss.
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