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Only 204 recovery warrant complaints out of a total 1,123 complaints have been executed by the 13 district collectorates in the state over the last six years as per the latest data from the Maharashtra Real Estate Regulatory Authority (MahaRERA). With only 18% of cases addressed over the last six years, the data exposes a sluggish pace in the execution of recovery warrant complaints. The total amount recovered stands at Rs 137.74 crore out of Rs 736.66 crore.
Recovery warrants are issued under Section 40(1) of the Real Estate (Regulation and Development) Act against developers. The warrants are forwarded to district collectors for attachment of properties and recovery of dues. However, the process has been slow. Recovery warrant orders have been issued by the authority against 459 projects, of which orders were executed only at 109 projects in the state, with Mumbai suburban, Pune and Mumbai city taking the lead.
Taking note of the complaints regarding poor execution of its orders, MahaRERA announced that it would closely monitor the execution of recovery warrant orders against errant developers. MahaRERA chairman Ajoy Mehta appointed a dedicated officer of the rank of additional collector to connect with all collectors and ensure prompt addressing of complaints. Weekly meetings are being conducted to review the issue, with collectors summoned to expedite recovery warrant orders.
Mumbai suburban tops the list of complaints with 442 complaints, followed by Pune with 241, Thane with 183, Alibag with 108, and Palghar with 71 complaints. Among the highest number of projects facing complaints, Pune has 131 projects facing complaints, followed by 122 projects in Mumbai suburban.
Officials from the Pune district administration stated that around 17% of recovery warrant orders in Pune have been executed to date, amounting to Rs 34.53 crore recovered from 35 projects, addressing approximately 51 complaints. This is to be seen against the 241 complaints registered in Pune against 131 projects, for a total amount of Rs 196.23 crore to be recovered.
Several of the homebuyers have been waiting for the execution of recovery warrant orders for several years now. MahaRERA's decision to monitor the execution of warrants has come as a relief for homebuyers. In a related development, the Bombay High Court issued contempt notices last year against Mumbai suburban district administration officials for failing to comply with earlier orders to execute recovery warrants against promoters of a Malad (West) project.
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