SC FOR HOMEBUYERS
Realty sector needs to get rid of shady operators
The world of real estate is murky in which homebuyers are mostly at the mercy of the builders. Had the courts not come to the rescue of people who invest their life’s savings for a roof over their heads, there is very little by way of provision in the system to check the enormous clout of real estate companies, which enjoy political patronage. The SC tightening the screws on Amrapali’s 46 firms — asking forensic auditors to track down thousands of crores of rupees invested by homebuyers, which were apparently diverted — will serve as a deterrent for other real estate giants as well. The court is seized of a batch of petitions filed by home buyers who are seeking possession of around 42,000 flats booked in projects of the Amrapali group. The top court had castigated the Amrapali group for “defrauding investors” and resorting to “dirty games”. The real estate sector is going through a churning. With Maharashtra enforcing RERA to protect the interests of the homebuyers, builders are now realising that they cannot afford to take buyers for granted. However, the poor implementation of RERA in other states show that builders still enjoy the upper hand, which means a large number of homebuyers across the country are vulnerable. While the SC must deal with Amrapali in the manner it deems fit, it should also be kept in mind that not all builders are insincere in their dealings with clients. The realty sector needs to weed out shady operators.