HRERA Imposes ₹1.5 Crore Penalty on Gurugram Developer

The Haryana Real Estate Regulatory Authority (HRERA) in Gurugram has imposed a significant penalty of ₹1.5 crore on M/s 1000 Trees Housing Pvt Ltd, a local real estate promoter. This penalty was issued due to the company’s failure to register its project, despite having obtained the necessary license over 12 years ago. The Department of Town and Country Planning in Haryana initially issued the license in 2012.
The penalty was imposed after a detailed scrutiny of the promoter’s application for project registration. The application was submitted with the intention of completing the construction and handing over units to homebuyers. However, HRERA discovered that the project had already seen the sale of units to third parties without the required registration, which is a violation of the Real Estate (Regulation and Development) Act, 2016. This Act mandates that promoters must register their projects with HRERA before creating third-party rights or advertising the project.
HRERA has conditionally approved the project’s registration, subject to the payment of late fees and the penalty. The penalty was imposed under Section 59 of the Act specifically for failing to register the ongoing project. Prior to this action, HRERA had issued a show-cause notice to the promoter, highlighting the absence of necessary certificates such as completion, occupation, or part-occupation certificates, which disqualified the project from exemption under Section 3(2) of the Act 2016 and Haryana Real Estate Rules.
The project in question is a group housing project named Sanctuary 105, located in Sector 105, Gurugram. This penalty highlights HRERA’s dedication to enforcing compliance and safeguarding homebuyers’ rights in the real estate sector. Despite the penalty, a spokesperson for the developer has denied the allegations, claiming misinformation and asserting that the company is fully compliant with any orders issued regarding the project[1][2][3].
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