In a significant development, the Maharashtra Real Estate Appellate Tribunal (MREAT) has directed the arrest and imprisonment of Neptune Ventures & Developers Pvt. Ltd.’s for three months in a case filed by Atul Prabhu. This marks the first time developers have been ordered to serve time under RERA provisions.
The tribunal, presided over by Shri Shriram R. Jagtap (Judicial) and Shri S.M. Deshpande (Administrative), issued the directive after repeated non-compliance with previous orders to attach movable and immovable properties belonging to the developers. The case was heard via video conferencing on January 2, 2025.
Key highlights of the order include:
- Delay in Property Attachment:
Despite a fresh attachment warrant issued on September 27, 2024, the Collector of Mumbai Suburban failed to submit a compliance report. The tribunal has now instructed the Registry to issue another attachment warrant and seek an explanation from the Collector. - Failure to Serve Notices:
Notices issued under Section 64 of the RERA Act, 2016, have reportedly not been served to the developers, prompting the tribunal to demand updates on their status. - Imprisonment Directive:
The tribunal asked the Registry to request the City Civil Court, Mumbai, to execute the arrest and imprison the judgment debtors who in this case are the developers for three months.
This landmark ruling aims to enforce accountability and ensure justice for homebuyers who have been waiting for resolution. The tribunal has scheduled the next hearing for February 20, 2025.
The decision highlights the increasing stringency of RERA enforcement to safeguard homebuyers’ interests and bring erring developers to justice.
Also Read: MahaRERA Appellate Tribunal
