Form ‘B’, Affidavit cum Declaration
Form ‘B’ is an official RERA affidavit cum declaration to be signed by a project promoter or a person authorised by the promoter under rule 3(4). The supplied text does not identify a named issuing department, order number or date, but the form requires declarations about land title, encumbrances, project completion, use and audit of buyer funds, approvals and non-discrimination.
What Form ‘B’ covers
Form ‘B’ records sworn commitments from the promoter of a proposed real estate project. The affidavit must identify the promoter, survey number, village, district and relevant block, wing or tower. It ends with verification that its contents are true and correct and that no material information has been concealed.
The supplied text identifies Form ‘B’ as a form under rule 3(4), but does not name an issuing department, order number or issue date.
Who is affected
Form ‘B’ must be signed by the promoter or a person authorised by the promoter. It also concerns allottees because it sets out how amounts collected from them must be held, used and audited, and requires the promoter not to discriminate during allotment of an apartment, plot or building.
Land and project declarations
The promoter must declare:
- That the promoter has legal title to the project land, or has an agreement with a person who holds legal title.
- Where development is based on an agreement, that legally valid authentication of title and an authenticated copy of the agreement between the owner and promoter are enclosed.
- Whether the land is free from encumbrances. If it is not, details must be provided about rights, title, interests or parties connected with the land.
- Whether the project is completed or the date by which it will be completed.
- That pending approvals will be obtained on time from the competent authorities.
- That other documents prescribed under the applicable rules and regulations have been furnished.
Handling project funds
Form ‘B’ requires seventy per cent of amounts realised from allottees to be deposited in a separate account maintained with a scheduled bank. For buildings, the money is to cover construction and land costs. For layouts, it is to cover development and land costs.
For building projects, withdrawals require certification by an engineer, architect and practising chartered accountant that the amount is proportionate to project completion. For layout projects, withdrawal requires an architect or licensed surveyor to certify that development is complete in all respects according to the layout approved by the competent authority.
The promoter must also have the accounts audited by a practising chartered accountant within six months after each financial year and submit a certified statement of accounts to the Authority.
This summary is generated from the source document to help you find what is relevant. The PDF above is authoritative. For advice on your own property, use LandLens One or speak to a qualified professional.
Common questions
Who must sign Form ‘B’?
The project promoter or a person authorised by the promoter must sign the affidavit cum declaration.
Does Form ‘B’ require the promoter to disclose land encumbrances?
Yes. The promoter must state that the land is free from encumbrances or provide details of any rights, title, interests or parties connected with the land.
How much money collected from allottees must go into a separate account?
Seventy per cent of the amounts realised from allottees must be deposited in a separate account maintained with a scheduled bank and used for the stated project and land costs.
Can a promoter withdraw money from the separate account without certification?
For building projects, withdrawal requires certification by an engineer, architect and practising chartered accountant. For layout projects, an architect or licensed surveyor must certify completion in accordance with the approved layout.
