Apex Court slams Govt. of India over delay in setting up Real Estate Regulator

17 Feb, New Delhi

Supreme Court has expressed displeasure over the delay by the government in setting up of a real estate regulator to keep a check on their activities.

Responding to it the counsel appearing for the Union Urban Development Ministry said it was in the process of drafting the Real Estate Regulation & Development Bill.

A bench of Chief Justice H L Dattu and Justice A K Sikri Monday asked the Government that how many more years it will take. During the brief hearing, Additional Solicitor General NK Kaul told the court that the cabinet had considered the issue on December 17 last year and a new cabinet note is now being drafted.

He then sought six weeks’ time to inform the court about developments on the issue, which the court granted. The observation came during the hearing of a PIL on unethical practices by real estate developers, including misleading advertisements by builders. The apex court had, in March 2007, issued a notice to the government on a PIL filed by an NGO seeking framing of guidelines to regulate campaigns by real estate developers.

Supreme Court yesterday directed real estate giant Supertech to refund money to the flat owners within 30 days, saying developers can’t take investors for a ride. It directed Supertech to refund the amount sought by the petitioners.

The apex court also directed the company to refund the interest within 60 days after the principal amount is paid to the investors. Earlier, it had directed Supertech to give back money within a month to flat owners who had sought refund of their investments, after the 40-storey residential twin towers Apex and Ceyane in Noida were directed to be demolished by the Allahabad High Court.