Common Order in Appeal Nos. 67 to 69 of 2021

What the case concerns

The Tamil Nadu Real Estate Appellate Tribunal issued the Common Order in Appeal Nos. 67 to 69 of 2021 on 6 October 2021 in appeals filed by the Army Welfare Housing Organization and its Project Director. The appeals challenge the Tamil Nadu Real Estate Regulatory Authority’s common order dated 25 March 2021, which treated the housing development as an ongoing project and directed the promoter to register it before 30 April 2021. The supplied text does not contain the Tribunal’s final decision.

Who is affected

The proceedings directly concern:

• The Army Welfare Housing Organization, as promoter of the housing project.
• The Project Director for the Army Welfare Housing Organization project at Dinesh Vihar, Chennai.
• Three allottees who had sought project registration and compensation for delayed possession.
• Other buyers or professionals assessing whether the project was required to be registered with the Tamil Nadu Real Estate Regulatory Authority.

The Army Welfare Housing Organization is described as a society that constructs homes for serving and retired Army personnel and widows at selected locations across India.

Background and key provisions

• The project commenced in May 2012.
• The Tamil Nadu Real Estate (Regulation and Development) Rules, 2017 came into force on 22 June 2017.
• The promoter claimed that the project was structurally complete and therefore exempt from registration.
• The Tamil Nadu Real Estate Regulatory Authority initially closed the allottees’ complaints on 21 May 2019 after treating the project as structurally complete.
• The Tamil Nadu Real Estate Appellate Tribunal later directed registration on 31 October 2019.
• The High Court remanded the dispute to the Tamil Nadu Real Estate Regulatory Authority for a fresh, reasoned decision after adequate enquiry and opportunity to the parties.
• Following remand, the Tamil Nadu Real Estate Regulatory Authority decided on 25 March 2021 that the development was an ongoing project and required registration.

Issues considered

The Tamil Nadu Real Estate Appellate Tribunal identified two questions. It considered whether the Tamil Nadu Real Estate Regulatory Authority had complied with the High Court’s directions and whether the promoter’s appeals should be allowed. The promoter argued that relevant completion reports, property tax assessment and procedural objections were not properly considered, while the allottees argued that the authority had correctly examined the available material.