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  • Chhattisgarh RERA Imposes ₹10 Lakh Penalty on Pancham Colony Promoters for Misrepresentation

    Chhattisgarh Real Estate Regulatory Authority | CG RERA

    February 05, 2026 : The Chhattisgarh Real Estate Regulatory Authority (CG RERA) has taken a strict stand in a significant case involving serious violations of the Real Estate (Regulation and Development) Act, 2016, by imposing a penalty of ₹10 lakh on the promoters of the Pancham Colony project. The penalty has been levied under Section 59 of the Act for violation of Section 3.

    The order was passed in the matter of Chhattisgarh RERA vs Pancham Colony. The case relates to the Pancham Colony project located at Village Pendra, District GPM, promoted by Shri Pancham Keshari, Shri Manish Keshari, Smt. Rajni Keshari, and Shri Nidhish Keshari. The Authority found that the promoters had deliberately furnished misleading information in an attempt to obtain exemption from RERA registration.

    During the investigation, it emerged that the project was, in substance, a residential housing project. However, the promoters had falsely projected it as a plotted development. In an earlier proceeding, the promoters had secured exemption from RERA registration by submitting a completion certificate purportedly issued by the competent authority in the year 2016.

    Subsequently, based on a complaint filed by an allottee, fresh proceedings were initiated. During the course of the hearing, it was established that within the same development area, the promoters had obtained valid building permissions from the competent authority, constructed residential units, and sold them to buyers. This clearly demonstrated that the promoters had misled the Authority by making false statements and had derived undue benefit.

    In its order, CG RERA categorically observed that obtaining exemption from the Act by providing incorrect information is not only a violation of law but also a serious breach of trust with homebuyers.

    The Authority further emphasized that transparency, truthful disclosure, and strict compliance with the law are mandatory in the real estate sector. Any attempt to evade the provisions of the Act will invite stringent legal action to ensure full protection of the rights of homebuyers.

    Law Notify Team

    Team Law Notify

    Law Notify is an independent legal information platform working in the field of law science since 2018. It focuses on reporting court news, landmark judgments, and developments in laws, rules, and government notifications.

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