TG RERA fines Abode Developers ₹11.7 lakh for promoting unregistered Kismatpur project
HYDERABAD: The Telangana Real Estate Regulatory Authority (TG RERA) has imposed a penalty of ₹11,76,604 on Abode Developers for advertising an unregistered apartment project at Kismatpur village in Gandipet mandal of Ranga Reddy district, violating provisions of the Real Estate (Regulation and Development) Act, 2016.
The order, issued on February 25, 2026, followed suo motu proceedings initiated by the Authority after receiving a representation from Mir Tauseef Ali on July 16, 2025. The complaint alleged that the developer was promoting an upcoming residential project without obtaining mandatory registration under the Act.
Complaint cited hoardings promoting upcoming project
According to the Authority, the complainant submitted photographs showing project hoardings at the site describing the development as an “upcoming project”. The display, the order noted, appeared to invite public interest despite the project not being registered with TG RERA.
Preliminary verification by the Authority confirmed that no real estate project at the specified location had been registered under Sections 3(1) and 4(1) of the Real Estate (Regulation and Development) Act, 2016.
Following this, TG RERA issued a show-cause notice on July 25, 2025, asking the developer to explain why penal action should not be taken under Sections 59 and 60 of the Act.
Developer’s explanation rejected
In its reply dated August 29, 2025, the developer stated that the project was at a preliminary stage and that no formal sale agreements or promotional activities had been undertaken. It also said steps were being taken to apply for project registration.
However, the Authority said the explanation was contradicted by the photographic evidence showing hoardings at the project site.
The order observed that displaying such hoardings and describing a development as an upcoming project amounts to advertising and promotion under Section 2(b) of the Act. The law does not permit any form of pre-launch advertising unless the project is registered with the Authority.
Authority issues penalty and restrictions
Holding the promoter liable for violating Section 3 of the Act, the Authority imposed a penalty of ₹11,76,604 under Section 59. The amount must be paid within 30 days to the TG RERA fund.
The Authority also directed the developer to immediately stop advertising, marketing, booking or offering the project for sale until it is duly registered with TG RERA and complies with all provisions of the Act.
It warned that failure to comply with the directions would attract further penalties under Section 63 of the Act.
