NEW DELHI: The Uttar Pradesh Real Estate Regulatory Authority (UP-RERA) has launched a feature on its website enabling homebuyers to report situations where promoters solicit payments into accounts other than the specified project collection account.
According to regulations, promoters are required to accept payments exclusively in the project’s collection account, details of which must be available on the UP RERA website and in all materials provided to buyers, including booking forms and allotment letters.
Additionally, 70% of the funds collected must be automatically transferred daily to an escrow account, ensuring that the funds are used solely for project development.
Despite these rules, UP-RERA has observed instances of fund diversion. This new reporting facility allows buyers to promptly notify the authority of such violations. UP-RERA has committed to investigating complaints and taking strict action against non-compliant promoters.
Sanjay Bhoosreddy, chairman of UP-RERA, stated, “The misuse of this system by certain promoters is unacceptable and will not be tolerated. By empowering allottees to report directly through the UPRERA website, we are enhancing our regulatory framework and reinforcing our commitment to zero tolerance for malpractice.”
Moreover, UP-RERA has begun its 19th real estate agent training program in Lucknow. Bhoosreddy emphasized the importance of agents in promoting transparency and encouraged participants to familiarize themselves with relevant laws and provide verified information to buyers. Successful candidates will receive certification and will be listed on the RERA portal for registration.
Bhoosreddy also urged agents to stay informed about the projects, offer accurate information to buyers, and report any misleading claims made by promoters. He advised them to regularly review the quarterly progress report (QPR) of the projects.
