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TG-RERA Upholds Two Puppalguda Project Registrations Despite Land Dispute

TG-RERA Upholds Two Puppalguda Project Registrations Despite Land Dispute

REG NEWS

The Telangana Real Estate Appellate Tribunal has upheld TG-RERA registrations for two projects by Phoenix Global Spaces and Sumadhura Constructions in Puppalguda, dismissing a challenge over alleged land overlap, irregular approvals and construction over Narsingi Lake-2.

The majority ruling leaves both registrations intact, despite a dissent by the Judicial Member questioning the land details and the regulator’s verification.

Dr Lubna Sarwath filed the appeal, alleging that TG-RERA issued separate registrations for Triton, a commercial project by Phoenix, and Sumadhura Palais Royal, a residential project by Sumadhura, on the same survey numbers and site area. Both projects are located in Survey Nos. 272/P and 273/P. She contended that the land formed part of Narsingi Lake-2 and that litigation and caution notices concerning the property had not been disclosed.

The developers argued that the projects were registered in phases, one for commercial development and the other for a residential complex. They also relied on a 2023 National Green Tribunal decision, which found no evidence of a lake in the relevant survey numbers. Sarwath’s appeal against that decision is pending before the Supreme Court.

Tribunal Chairperson Justice A. Santhosh Reddy and Administrative Member Vemula Sreekar, forming the majority, dismissed the appeal. They held that Sarwath was not an “aggrieved person” under Section 31 of the RERA Act, as she was not an allottee, promoter or agent and had not shown that her legal rights under the Act were affected.

The majority said the lake and planning issues fell under other laws and forums, and upheld TG-RERA’s registrations.

Judicial Member P. Pradeep Kumar Reddy, however, disagreed with the majority. He questioned how two projects on the same survey numbers and stated land area received registrations without clear land demarcation and geo-fencing. He also pointed to a difference between the land covered by the development agreement and the larger area mentioned in the project records. 

He proposed keeping both registrations ineffective until the required disclosures were made, stopping further marketing, bookings and advance collections, and asking TG-RERA to inspect the site and submit a report within 120 days. These were his dissenting suggestions and were not part of the majority ruling.

For prospective buyers and commercial property investors, it is important to check whether the land details mentioned in the RERA documents match the actual land covered by the title deeds and approvals. 

They should verify the survey numbers, land area, development agreements and building permissions before investing. While the majority upheld both registrations, the dissent raised questions over land demarcation, showing why buyers should check the property documents rather than rely only on the RERA registration.

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