HC questions ORERA for sending cases to civil courts for dues recovery
23 Jan 2024
2 Min Read
CW Team
The Orissa High Court has noted that the Odisha Real Estate Regulatory Authority (ORERA) should refrain from forwarding property execution cases to civil courts for initiating certificate proceedings aimed at recovering dues in favour of homebuyers.
A two-judge bench, comprising Acting Chief Justice B R Sarangi and Justice M S Raman, has requested ORERA's response on reconsidering its approach to execution cases, especially after the authority claimed it faced difficulties in implementing its orders. The bench has scheduled further consideration of the matter for the upcoming week.
The High Court made these observations during a hearing on Friday in response to a Public Interest Litigation (PIL) seeking intervention against ORERA's practice of sending orders imposing penalties to civil courts for execution. The petitioner, Bimalendu Pradhan, a flat owner from Bhubaneswar, asserted that the recovery of penalties has been minimal.
The affidavit submitted by ORERA, as pointed out by the petitioner's counsel Mohit Agarwal, revealed the imposition of Rs 198.7 million in penalties across 153 cases, with only Rs 40 lakh realised. ORERA's counsel, Bibhu Prasad Tripathy, stated in the affidavit that efforts are being made to expedite the realisation process through correspondence with revenue authorities, empowered to recover these penalties.
Earlier, ORERA, in its affidavit, expressed its inability to execute orders and highlighted the absence of an established mechanism, similar to that of civil courts, for recovering dues or penalties. The authority argued that the civil court is well-equipped to enforce orders through its existing processes. Establishing parallel infrastructure within ORERA for order execution would be an unnecessary burden on the state exchequer. Consequently, ORERA opts to send its orders to civil courts for execution, specifically within the local jurisdiction where the project is located or where the subject of the order resides.
The Orissa High Court has noted that the Odisha Real Estate Regulatory Authority (ORERA) should refrain from forwarding property execution cases to civil courts for initiating certificate proceedings aimed at recovering dues in favour of homebuyers.
A two-judge bench, comprising Acting Chief Justice B R Sarangi and Justice M S Raman, has requested ORERA's response on reconsidering its approach to execution cases, especially after the authority claimed it faced difficulties in implementing its orders. The bench has scheduled further consideration of the matter for the upcoming week.
The High Court made these observations during a hearing on Friday in response to a Public Interest Litigation (PIL) seeking intervention against ORERA's practice of sending orders imposing penalties to civil courts for execution. The petitioner, Bimalendu Pradhan, a flat owner from Bhubaneswar, asserted that the recovery of penalties has been minimal.
The affidavit submitted by ORERA, as pointed out by the petitioner's counsel Mohit Agarwal, revealed the imposition of Rs 198.7 million in penalties across 153 cases, with only Rs 40 lakh realised. ORERA's counsel, Bibhu Prasad Tripathy, stated in the affidavit that efforts are being made to expedite the realisation process through correspondence with revenue authorities, empowered to recover these penalties.
Earlier, ORERA, in its affidavit, expressed its inability to execute orders and highlighted the absence of an established mechanism, similar to that of civil courts, for recovering dues or penalties. The authority argued that the civil court is well-equipped to enforce orders through its existing processes. Establishing parallel infrastructure within ORERA for order execution would be an unnecessary burden on the state exchequer. Consequently, ORERA opts to send its orders to civil courts for execution, specifically within the local jurisdiction where the project is located or where the subject of the order resides.
Next Story
MoHUA Plans New Role for Smart City SPVs
In a significant policy move, the Ministry of Housing and Urban Affairs (MoHUA) has issued an advisory encouraging the continued use and repurposing of Special Purpose Vehicles (SPVs) formed under the Smart Cities Mission (SCM). This marks a step toward sustaining urban transformation by leveraging institutional capabilities and infrastructure developed over the past decade.Initiated in 2015, the Smart Cities Mission introduced a new era of urban planning in India, with each of the 100 selected cities forming SPVs under the Companies Act, 2013. These entities, jointly owned by state government..
Next Story
ADB Approves $110 Million Loan to Boost Skills in Gujarat
The Asian Development Bank (ADB) has approved a USD 109.97 million (Rs 9.27 billion) results-based loan to support Gujarat鈥檚 efforts to become a global industrial hub by developing a future-ready, skilled workforce.The funding will back the Gujarat skills development programme, led by the Department of Labour, Skill Development and Employment in collaboration with Kaushalya: The Skill University (KSU). The initiative aims to equip the workforce with advanced, industry-aligned skills to meet rising employment demand in high-growth sectors.According to ADB, the programme seeks to strengthen in..
Next Story
SDAL Tests Rudrastra UAV and Bhargavastra Defence System
Solar Defence and Aerospace Limited (SDAL) has successfully completed a key flight test of its indigenous Hybrid VTOL UAV Rudrastra at the Pokharan Firing Range, aligning with Indian Army performance benchmarks for mission adaptability, high endurance, precision engagement, and vertical take-off and landing (VTOL) capability.The trial marks a notable achievement in India鈥檚 Aatmanirbhar Bharat initiative, underscoring advancements in home-grown military technology. The Rudrastra UAV demonstrated a mission radius exceeding 50 km with uninterrupted video relay, a total operational range of over..