'RERA only facilitating defaulting builders, better to abolish,' says Supreme Court

The observations came from the bench, which permitted the Himachal Pradesh government to shift the office of RERA to the place of its choice.

NEW DELHI: The Supreme Court on Thursday expressed its disappointment with the functioning of Real Estate Regulatory Authority (RERA) in many States, saying it is high time that all the states rethought its constitution as the institution is doing nothing, except facilitating the defaulting builders.

"It is high time that all the states should revisit and rethink constituting this authority," a bench of Chief Justice of India Surya Kant and Justice Joymalya Bagchi said.

The court was hearing a plea filed by the state of Himachal Pradesh against the order of the High Court, which stayed the decision of the state government to shift the RERA office from Shimla to Dharamshala.

Considering the matter, the bench observed that the RERA was not doing any other services except to facilitate builders in default.

"It is better to just abolish this institution (RERA)," the bench said.

The court also stressed that the people for whom RERA was actually created were "completely depressed, disgusted and disappointed".

The court allowed the plea of the Himachal Pradesh government to shift the office of RERA to the place of its choice.

Senior Advocate Madhavi Divan, appearing for the Himachal Pradesh government, informed that the PIL in question has been filed by a property dealer.