MahaRERA Tightens Scrutiny: Orders 10-Day Verification of Occupation Certificates for 3,699 Lapsed Projects
In a significant move to combat fraudulent practices in the real estate sector, the Maharashtra Real Estate Regulatory Authority (MahaRERA) has intensified its crackdown by directing planning authorities to verify the authenticity of Occupation Certificates (OCs) submitted for lapsed real estate projects. This verification process must be completed within a strict timeframe of 10 days.
The decision comes in the wake of increasing complaints about developers using forged documents, particularly incidents of fake construction approvals in areas such as Kalyan-Dombivali. Highlighting the urgency and seriousness of the issue, MahaRERA has clearly stated that if a planning authority fails to respond within the 10-day period, the authority will assume that the submitted Occupation Certificates are genuine. Any discrepancies found at a later stage will hold the concerned planning authority solely accountable.
"MahaRERA has taken a decisive step to ensure transparency and protect homebuyers' interests. In cases where projects had lapsed but developers claimed completion, the authority has mandated the verification of Occupation Certificates by the respective planning bodies," MahaRERA said in an official statement.
The Authority is reaching out to planning authorities across Maharashtra, sending letters that request verification of the OCs uploaded for 3,699 lapsed projects. These include 1,819 projects from the Mumbai Metropolitan Region, 1,223 from the Pune region, 273 from Nashik, 132 from Chhatrapati Sambhajinagar, 84 from Amravati, and 168 from Nagpur.
These projects had previously been served notices after their registration with MahaRERA lapsed. In response, developers for these projects submitted that their work was complete and uploaded corresponding OCs on the MahaRERA platform. Now, to ensure that these documents are authentic and not fabricated, the Authority is requiring confirmation from the issuing bodies.
According to the statement, MahaRERA emphasized that if any planning authority fails to verify or respond within the given timeframe, it would be assumed that the documents are authentic. The projects will then be marked as completed based on that assumption. However, in case any inconsistencies or falsifications are discovered subsequently, the respective planning authority will be held entirely responsible for the consequences.
This step underscores MahaRERA’s commitment to ensuring regulatory compliance and safeguarding the rights of homebuyers. It also serves as a warning to both developers and planning bodies to strictly adhere to transparency and due diligence practices.
As per the current regulatory framework, every housing project must be registered with MahaRERA before developers can advertise, market, or sell any units. During the construction phase, developers are required to regularly submit quarterly updates and annual financial audit reports. Upon completion, developers must upload the Occupation Certificate issued by the competent planning authority to MahaRERA’s portal. Only after MahaRERA accepts this certificate can the promoter access the remaining funds held in the designated escrow account for the project.
An Occupation Certificate is a crucial document in the real estate process, confirming that the building has been constructed according to approved plans and is fit for occupancy. Without it, residents face significant legal and safety risks.
MahaRERA’s latest directive, therefore, is not only a preventive measure against fraud but also an essential step toward strengthening public trust in Maharashtra’s real estate market. The action reflects the regulator’s proactive approach to addressing previous shortcomings and ensuring that the sector operates with greater transparency and accountability.