This practice contravenes the core provisions of the Real Estate (Regulation and Development) Act, 2016 (RERA). Under Section 4(2)(l)(D) of the Act, every promoter must maintain a separate designated bank account for each registered project. At least 70% of the funds collected from homebuyers (allottees) must be deposited into this project-specific “separate account,” which can only be used for land acquisition costs and construction expenses related to that specific project. The remaining 30% goes into a transaction account for other permissible uses.

MahaRERA reinforced this in mid-2024 by mandating three separate accounts per project (in a single scheduled bank): a collection/master account for all inflows, the 70% separate account for protected project funds, and a 30% transaction account. These accounts must be free from liens, escrows, or third-party controls to prevent misuse.

Using a common bank account for multiple projects defeats this ring-fencing mechanism. It allows funds from buyers in one project to be diverted to another (or for unrelated purposes), risking delays, incomplete construction, or defaults — issues that plagued the sector pre-RERA. By violating project-specific financial segregation, promoters breach transparency and buyer protection rules, prompting MahaRERA to freeze accounts, halt new sales, and prohibit execution of agreements for sale or sale deeds until full compliance.

This list, available on the official MahaRERA website (maharera.maharashtra.gov.in) under the Home Buyers section → Abeyance Project List → Due to Common Bank Accounts, currently features around 100 projects (last updated around January 21, 2026). The authority’s action freezes the project’s bank accounts and bars promoters from fresh bookings or transfers.

What should homebuyers do?

• Always verify the project’s status on the MahaRERA portal before paying any amount or signing documents.
• Avoid projects listed in abeyance — new purchases are legally blocked.
• If already invested, monitor updates, consider filing complaints via MahaRERA if delays occur, and seek legal advice for refunds or possession issues.
• Prefer established promoters with clean compliance records and RERA-registered projects showing active status, quarterly updates, and separate accounts.

Here is the complete list of projects currently in abeyance due to common bank accounts (as per MahaRERA records):

You can visit https://maharera.maharashtra.gov.in/common-bank-account directly, as the list is dynamic. If a project you’re interested in is here, avoid new transactions—accounts are frozen, and sales are prohibited until compliance.

Also Read: MahaRERA Directs Developer to Allocate Car Parking to Homebuyers, Warns of Penalty for Non-Compliance

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