Realty regulator will breed corruption, dry liquidity: Credai
Mumbai: Real estate developers body Credai Wednesday criticised the proposed Real Estate Regulatory Bill, which is expected to be tabled in the Winter Session of Parliament beginning Thursday, saying it is 'anti-people'.
The Bill aims to establish a regulatory authority for the realty sector.
The Confederation of Real Estate Developers Associations of India (Credai) has termed the Bill as anti-people and said the sweeping powers sought to be vested with the regulator will lead to corruption instead of checking it.
"We whole-heartedly welcome the government's intention to assist consumers in realty space, but the Realty Regulatory Bill in its present form does not solve the problem and rather will prove to be inflationary and breeding ground for corruption," Credai National President Lalit Kumar Jain said in a statement.
The Bill, he said, seeks to allow manual property registrations and even empowers the regulator to reject them.
The Bill also provides for depositing 70 percent of the sale price in a bank account, he said, adding, "blocking such a large amount will also kill liquidity and business expansion."