Flats mortgaged illegally; RERA raps builder, lender

Shrijibapa Infracon had mortgaged all flats of Floris-41 for Rs 14cr loan; RERA directs lender to issue NOCs to owners

- Nikunj.Soni

In a significant victory for home-buyers, the Gujarat Real Estate Regulatory Authority (GujRERA) has ruled in favour of residents from the "Floris-41" project in Satellite, Ahmedabad.

In an order dated October 28, the authority directed its lender, Piramal Capital and Housing Finance (PCHFL), to grant NOC and No Due Certificate to buyers whose flats were mortgaged by the developer without their knowledge. The developer was also directed to hand over administration and maintenance of the society to the allottee.