Bengal assembly tables ‘The West Bengal Housing Industry Regulation Bill’

Bengal assembly tables ‘The West Bengal Housing Industry Regulation Bill’
18/08/2017 , by , in News/Views

West Bengal government on Wednesday introduced The West Bengal Housing Industry Regulation Bill in the legislative assembly to protect the interest of the prospective buyers in the state.

The new bill has clearly stated the definition of “car parking area”. In the new legislation, it has been mentioned that “commencement notice” when issued by the competent authority will allow or permit the promoter to begin development works on an immovable property as per the sanctioned plan.

“The Real Estate (Regulation and Development) Act, 2016 which was introduced in Parliament by the Centre last year had mentioned that garage will be a place within a project having a roof and walls on three sides for parking any vehicle. But it does not include an unenclosed or uncovered parking space such as open-parking areas as garage. In the bill introduced by the Bengal government garage will mean any area and parking space as will be sanctioned by the competent authority,” said MLA from Taldangra, Samir Chakraborty. He is also the vice chairman of the West Bengal Housing Board.

Henceforth, housing industry will mean an industry which deals with development, construction, sale of houses and plots of land for any purpose. While the bill promulgated by the Centre is applicable in planning area, the bill introduced in state assembly is applicable over Bengal.

As per the new bill if a promoter or an allottee or a real estate agent fails to pay any interest, compensation or penalty imposed on him by the newly introduced appellate authority, the compensation can be recovered from the promoter or real estate agent in a manner as may be prescribed as an arrears of land revenue. The 70% amounts collected for the real estate project from the allottees will now have to be deposited in a separate account in a scheduled bank. Remaining 30% can be utilized by the builders for another project.

Also, registration of real estate agents will now be compulsory. Defects liability period is now five years which was earlier only two years. Prior registration of real estate project is required before advertisement for sale. Till now registration of the promoter was required before construction of the project. The penalty for promoters or builders is now 10% of the project cost or 3 years imprisonment.

On Wednesday while tabling the bill housing minister Sovon Chaterjee said that the appellate authority will be constituted within 60 days.

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