Regulations
Kerala clears ordinance on real estate development

Of late, the number of complaints by people who have paid money for buying flats and villas promoted by real estate companies have gone up drastically

 

To streamline real estate development in Kerala and to eliminate fly-by-night operators, the state government has approved the Kerala Real Estate (Development and Regulation) Ordinance, Chief Minister Oommen Chandy said on Wednesday.
 
"This ordinance was cleared by the cabinet today (Wednesday) and through this, we expect to prevent frauds taking place in the real estate sector. Through this ordinance, two regulatory bodies -- the Real Estate Authority and the Real Estate Appellate Tribunal -- will come into being to look into all aspects of new flats, villas and commercial buildings," Chandy said.
 
The measure has been sent to Governor P. Sathasivam for its issuance.
 
Of late, the number of complaints by people who have paid money for buying flats and villas promoted by real estate companies have gone up drastically.
 
The most affected are the Kerala diaspora who have reportedly fallen victim to errant builders.
 
Kerala Minister for Urban Affairs Manjalamkuzhi Ali said that through this measure, they were confident of protecting the interests of investors who pay for a flat or a villa.
 
"The Real Estate Appellate Tribunal will be a quasi-judicial body and would have enormous powers to ensure that land deals are fair. Right from the time advertisements appear from real estate developers, the construction period and after the property is handed over, everything will be under scrutiny.
 
"Those who do not complete their project on time would be fined. We are confident that through this, there will be no more apprehensions by the investors," said Ali.
 
Chandy said that Kerala, through this ordinance, has become only the second state after Maharashtra to have such a stringent law.

 

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COMMENTS

vishal

2 years ago

there are already regulations but the promoters know where to look for their prey when advertising for selling properties. The Registrars office in all states are corrupt from top to bottom. When a flat or villa is either sold or bought much of the money is eaten away by middle men. The Kerala Government may scrutinize a buildings plan from beginning but will they ensure the buyers, a fair play. All this only in paper. We know very what happens in reality.

Satyam case: Ramalinga Raju, nine others get seven years jail
The court also imposed a fine of Rs.5 crore on Ramalinga Raju

 

A special CBI court on Thursday sentenced B. Ramalinga Raju, his two brothers and seven others to seven years in prison in the multi-crore-rupee Satyam case.
 
The court also imposed over Rs.5 crore fine each on Ramalinga Raju, the Satyam Computer Services Ltd's founder and former chairman, and his brother B. Rama Raju and up to Rs.50 lakh each on the remaining accused, CBI counsel K. Surender said.
 
"Various sentences ranging from two years to seven years imposed on all the accused but all the sentences would run concurrently. That is the reason the maximum sentence is seven years which they have to serve," he said.
 
The other accused are Ramalinga Raju's another brother, B. Suryanarayana Raju, Satyam's former chief financial officer Vadlamani Srinivas, former PricewaterhouseCoopers auditors Subramani Gopalakrishnan and T. Srinivas, former employees G. Ramakrishna, D. Venkatpathi Raju and Ch. Srisailam, and Satyam's former internal chief auditor V.S. Prabhakar Gupta.

 

Police were making arrangements for all the convicts to serve their sentences in Cherlapally Jail here.
 
Special Judge B.V.L.N. Chakravarthi of the Central Bureau of Investigation (CBI) court announced the quantum of punishment in the afternoon, hours after pronouncing all the accused guilty on various counts.
 
The much-awaited judgement in the packed court hall came in the presence of Ramalinga Raju and all the other accused.
 
The judge did not take into account the plea by the convicts for leniency in the punishment on grounds of their age, health and the problems faced by their families.
 
The accused told the judge that they have already spent more than two years in jail.
 
Ramalinga Raju, the main accused, also sought leniency on the ground of social service he had done in the past.
 
"They told the honourable judge that they and their families have faced a lot of hardships due to the case. They also brought to his notice that there was no loss to people (due to the fraud)," said Venkateswara Rao, one of the defence lawyers.
 
The CBI, however, sought maximum punishment, citing it as the biggest corporate fraud in the country and also on the ground of huge losses caused to the investors.
 
The scam came to light on January 7, 2009 when Ramalinga Raju confessed that the company's account books and profits were inflated over many years to the tune of several crores of rupees.
 
Police arrested him two days later on a complaint by some shareholders.
 
The CBI, which took up investigation in February 2009, put the loss to the shareholders at Rs.14,000 crore.
 
The investigating agency also charged Raju with gaining Rs.2,500 crore by selling his family shares in Satyam.
 
Raju was charged with floating several front companies to buy land with the scam money. He was arrested by Andhra Pradesh Police on January 9, 2009.
 
The CBI filed three chargesheets against Raju and the other accused, charging them with cheating, criminal conspiracy, forgery, falsification of accounts and breach of trust.
 
The disgraced IT czar, who even shared the dais with then US president Bill Clinton during the latter's visit to Hyderabad, spent nearly 32 months in jail.
 
Raju, who was released on bail in 2011, later retracted his confession and contended that all the charges levelled against him were false.
 
After the scam, Tech Mahindra took over Satyam Computers in a government-sponsored auction. Mahindra Satyam later merged with Tech Mahindra.
 
An economic offences court on December 8 last year sentenced Ramalinga Raju and three others to six months imprisonment in six of the seven cases filed by the Serious Fraud Investigation Office (SFIO).

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COMMENTS

shanti Patel

2 years ago

Congratulation to C.B.I.,the agency doing a very good job in-spite of pressure from certain section of the government.

The sad aspect is that they got sentence of 7 years and fine of Rs.25 lakhs. Is it justified?
Our laws require to be changed and punishment should be enhanced so that in future such people do not venture in to such manipulation.

Two auditors from BIG FOUR also sentenced to 7 years jail. One of them was a CHAIRMAN of the DISCIPLINARY COMMITTEE of THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA!

Unless the laws are changed as time changes, GREED for MONEY and BIG FRAUDS continue.

It least Companies Act 1913 has incorporated various strict provisions for People in charge of managing the companies and auditors

S.K.PATEL
Secretary-Bombay Shareholders Association

SC dismisses 1993 Mumbai serial blast mastermind's plea

Yaqub Abdul Razak Memon's plea seeking recall of apex court verdict upholding his death sentence was dismissed

 

The Supreme Court on Thursday dismissed 1993 Mumbai serial bomb blast mastermind Yaqub Abdul Razak Memon's plea seeking recall of apex court verdict upholding his death sentence.
 
 

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