In a major boost to thousands of aggrieved homebuyers, MahaRERA has rolled out a stringent, time-bound Standard Operating Procedure (SOP) to enforce payment of refunds, delayed-possession interest and compensation awarded against defaulting builders.
Issued on 18 November 2025, the new rules give MahaRERA orders the same legal force as a civil court decree and, for the first time, open the door to civil imprisonment of builders or their directors who wilfully refuse to pay despite having the means.
The circular is in direct compliance with the Bombay High Court Division Bench judgment dated 06.10.2025 in a Writ Petition.
Key Features of the New Enforcement Mechanism
- After 60 days of non-payment, the homebuyer can file an online “Non-Compliance / Execution Application” on the MahaRERA portal.
- Case listed and heard within 4 weeks.
- Builder given one last chance to comply.
- On continued defiance, MahaRERA will order the builder to file a sworn affidavit disclosing all movable and immovable assets, bank accounts and investments.
- Failure to file the affidavit → builder/director summoned in person for examination (Order XXI Rule 41 CPC).
- Persistent non-compliance triggers simultaneous triple action:
- Imposition of heavy penalty
- Revenue Recovery Certificate to the District Collector for attachment and auction of properties and freezing of bank accounts
- Reference to the principal civil court for execution under Order XXI Rule 1(2) & (3) CPC – the provision that allows arrest and detention in civil prison (up to 3 months) of a judgment-debtor who can pay but refuses to pay.
Since MahaRERA does not have its own prison, the actual arrest and detention will be carried out by the civil court.
Why This Changes Everything
Until now, many builders treated MahaRERA monetary orders as toothless, forcing homebuyers into years of follow-up. With this circular, defaulters now risk losing their properties, bank balances and, in extreme cases, personal liberty.
Homebuyer associations and lawyers have hailed it as the strongest recovery mechanism introduced by any RERA authority in the country.
What Homebuyers Should Do Immediately
If you have a MahaRERA order awarding refund + interest or compensation that remains unpaid for more than 60 days:
- Visit https://maharera.mahaonline.gov.in
- Log in and file the new “Non-Compliance / Execution Application” (the portal has been updated to accept these applications)
- Keep a copy of the original order ready
Legal experts predict a dramatic improvement in compliance once the first few recovery warrants and civil court references are issued.
With this Circular now in force, MahaRERA has finally given homebuyers the real enforcement power they were promised under the RERA Act.
Also Read: 🏗 MahaRERA Asks Builder to Submit Completion Milestones to Homebuyers While Granting Extension
