GNR Infra Fined for Promoting Unregistered Project
The company denied engaging in promotional activities and sought an exemption.
Hyderabad: The Telangana Real Estate Regulatory Authority (TG RERA) has imposed a penalty of Rs 2.14 crore on GNR Infra Developers for promoting and marketing hundreds of unregistered villas under a different project name while holding registration for only a limited portion of the development.
The suo motu proceedings were initiated after RERA examined information available in the public domain, including the developer's website and promotional material, and found that GNR Infra was advertising a villa project called Anvaya Villas at Vanasthalipuram, even though no such project had been registered with TG RERA.
The developer argued that each villa was an independent unit built under separate permissions issued by the panchayat raj department. It claimed that the villas did not form a single real estate project, had no common amenities and did not require registration under the Act. The company denied engaging in promotional activities and sought an exemption.
RERA rejected these arguments after examining the company's brochures, website, pricing details and records obtained from planning authorities. The authority found that the promotional material presented the development as a large, integrated residential project with different villa types, pricing structures and location-based premiums, clearly indicating organised marketing activity.
The authority discovered that the developer held a TG RERA registration for a project named Anvaya Icon City, covering 57 villas. The same promotional material advertised Anvaya Villas as a much larger project comprising more than 300 villas spread across nearly 30 acres. RERA held that marketing such a substantially larger development under a different name amounted to promoting an unregistered portion of a real estate project and misleading prospective buyers.
Calling the violations deliberate and serious, TG RERA said the developer had attempted to bypass the mandatory registration requirements by misrepresenting the project's identity and scale. It directed GNR Infra to pay a penalty of Rs 2,14,51,440 within 30 days, immediately stop using the name Anvaya Villas, restore the registered name Anvaya Icon City across all promotional platforms within seven days, and display the correct TG RERA registration details in every advertisement.
