In a significant victory for homebuyers, the Government Dues Recovery Section of Mumbai has issued a Notice of Demand to M/s. Desai Residency Pvt. Ltd., warning the developer of property attachment for failing to comply with a MahaRERA compensation order.
The notice, dated 24 June 2025, demands payment of ₹42,44,940 within 20 days. This amount arises from interest dues on ₹2.63 crore that the Maharashtra Real Estate Regulatory Authority (MahaRERA) had ordered the builder to pay to a homebuyer.
According to officials, if the developer does not clear the dues promptly, the Tahsildar will proceed with compulsory recovery, including attachment and sale of movable and immovable properties.
Legal Basis of the Action
The recovery is being enforced under Section 267 of the Maharashtra Land Revenue Code, 1966. This powerful provision allows the government to:
- Attach and sell any movable property, such as vehicles or equipment.
- Attach and sell land or flats owned by the defaulter to satisfy the payment.
- Seize the rights and interests in other immovable properties.
This section essentially treats the unpaid amount as if it were arrears of land revenue, giving the administration sweeping powers to recover dues without the need for fresh litigation.
Background
The action follows a MahaRERA order dated 25 March 2025 in Complaint No. CC006000000193619, which directed the developer to pay compensation, interest, and penalties under the Real Estate (Regulation and Development) Act, 2016.
Despite repeated reminders, the builder failed to comply, prompting the Collector Mumbai City to initiate recovery proceedings.
What This Means for Homebuyers
This development reinforces the enforceability of MahaRERA orders, sending a strong message that developers can no longer ignore their obligations. The Maharashtra government’s move demonstrates its commitment to protecting the interests of aggrieved homebuyers.
✅ Key Takeaway
If developers do not honour RERA orders, their properties can—and will—be attached and auctioned to recover dues.
Headline Suggestions for Homebuyer-Friendly Appeal
- 🏠 “No Escape for Defaulting Builders: Govt to Attach Properties for MahaRERA Dues”
- 💪 “MahaRERA Triumph: Builder’s Assets Face Seizure Over Homebuyer Compensation”
- ✅ “Big Win for Homebuyers—Developer’s Property Attachment Begins for Non-Payment”
Also Read: MahaRERA Clarifies: Possession Without an OC is Not Legally Recognized
