Cracking the whip against diversion of funds by unscrupulous builders from ongoing realty projects, the Uttar Pradesh Real Estate Regulatory Authority (UP RERA) has directed commercial banks to strictly comply with escrow account provisions.
The watchdog took cognisance that some builders/promoters were not complying with the statutory provisions of the Real Estate (Regulation and Development) Act, 2016 and withdrawing funds without submitting the requisite certificate, which UP RERA chairperson Rajive Kumar has termed as, “grave violation of the mandatory provisions of the Act”.
UP RERA has sent letters to the zonal/state heads of all 42 scheduled public and private sector banks and