Cabinet clears Realty Bill, talks on Food Bill on Friday

The Cabinet on Tuesday cleared the Real Estate Regulator Bill, but did not take up the Food Security Bill, saying it will be discussed on Friday.

Also Read: RBI tightens restructuring norms; some relief for projects

Sources said the Congress is likely to push for an ordinance on the Food Security Bill, despite divisions within the government. While ministers like Kamal Nath want an ordinance, others such as agriculture minister Sharad Pawar want the Bill to be discussed in Parliament. The Opposition too wants a discussion in Parliament and has been demanding that a special session be held.

Meanwhile, the Real Estate Regulator Bill may spell good news for home owners. The Bill, which the real estate sector has vigorously opposed, contains provisions for jail terms to developers who cheat buyers.

Also, builders will not be allowed to divert money paid by home-buyers to other projects.

The Bill also provides for a refund if a project is delayed. Under the proposed new law, builders will be able to sell property only after getting all necessary clearances.