Every Association of Allottees (AOA) can approach the Karnataka Real Estate Regulatory Authority (KRERA) to take over delayed projects with the aim of completing them, Kishore Chandra, Chairman of KRERA, said while speaking at a conference held by the Federation of Karnataka Chambers of Commerce and Industry (FKCCI) and Mysuru Naredco on June 7.
"Most of them are pre-RERA projects. Such AOAs can approach the Authority to complete the project themselves or with another developer," Kumar said.
In such cases, the Authority will look at the project report and decide whether to hand over the project or not.
In fact, he said, currently, the Authority has transferred two or three projects to AOAs, which are now in the process of being completed.
"Most importantly, in such cases, the old developer will still be liable for compensation to be paid for delayed execution of projects. A transfer of hands does not transfer the liabilities for completion," Kumar said.
However, experts say it is unclear how the transfer should be done without a deemed conveyance deed, as it is done in Maharashtra.
Deemed conveyance occurs when the builder/landowner, or legal heir refuses to hand over the titles and rights to the cooperative societies. In such cases, the housing society has to appear before the District Deputy Registrar.
Currently, Karnataka does not have provisions for deemed conveyance.
Speaking at the event, Mysuru Naredco said that of the more than 8,703 complaints registered, Bengaluru accounts for 90 percent. Of the total, almost 98 percent are pre-RERA projects.
The chairman also added that, currently, KRERA is looking to hire retired professionals from the Accountant General's office to look after the regulations and enforce them through penalties.
"Additionally, once the project has been handed over to the AOA, the allottees can approach KRERA within five years for any grievances by filing a deficiency certificate," he concluded.
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