Delhi Development Authority Challenges RERA Directive on Housing Project Registration in High Court

Delhi Development Authority Challenges RERA Directive on Housing Project Registration in High Court

The Delhi Development Authority (DDA) has filed a petition in the Delhi High Court challenging a directive from the Real Estate Regulatory Authority (RERA) that mandates the registration of its housing projects. This legal action follows a notice issued by Justice Sachin Datta on May 28, which requested responses from both RERA and the Central Government regarding DDA’s claims.

In its petition, represented by senior advocate Ramesh Singh and advocate Vrinda Kapoor Dev, the DDA pointed to a 2021 ruling by RERA that required it to register under Section 3 of the Real Estate (Regulation and Development) Act, 2016. This section stipulates the necessity for prior registration of real estate projects with RERA.

DDA argues that its statutory responsibilities are not covered by the Real Estate Act, as its operations are governed by the Delhi Development Authority (Management and Disposal of Housing Estates) Regulations, 1968, and the Nazul Rules, 1981. The authority asserts that it does not qualify as a “promoter” of housing projects under the definitions set forth in the RERA Act, thereby exempting it from the mandatory registration requirements applicable to private developers.

The petition seeks to contest RERA’s decision, emphasizing that DDA operates under a distinct legal framework that differentiates it from private sector entities involved in real estate development. DDA highlights its commitment to public welfare rather than profit, supported by comprehensive internal mechanisms for quality assurance, grievance redressal, and accountability. It contends that these existing structures make additional oversight by RERA redundant.

In summary, DDA’s legal challenge aims to clarify its regulatory status and assert that the current legal framework sufficiently governs its housing projects, distinguishing its role from that of private developers and seeking to prevent the imposition of unnecessary regulatory burdens.