Telangana RERA Orders Suo Motu Proceedings Against Sohini Builders, Rejects Complaints by Plot Owners

April 6, 2026 : The Telangana Real Estate Regulatory Authority (TG RERA) has ordered initiation of suo motu proceedings against Sohini Builders LLP over alleged irregularities in a registered project, while dismissing complaints filed by two independent plot owners as not maintainable. The order was passed on April 6, 2026, by a bench comprising Chairperson Dr. N. Satyanarayana and Members K. Srinivasa Rao and Laxmi Narayana Jannu in two connected matters, which were heard together due to similarity in facts and reliefs sought.

The complainants, who claimed ownership and possession of plots in Beverly Hills Colony at Khajaguda village within GHMC limits, asserted that their properties had been wrongly included in a RERA-registered project without their consent. They relied on registered sale deeds tracing title through a chain of transactions and stated that the layout had already been regularised by municipal authorities. According to them, persons acting on behalf of the developer interfered with their possession by obstructing access, dumping materials on internal roads, and fencing the layout. They further alleged coercion to enter into development agreements and accused the developer of suppressing material facts to obtain RERA registration covering their plots.

The reliefs sought included cancellation of the project registration, restoration of their plots to original condition, and compensation of ₹1 crore for alleged damage and interference. The developer opposed the complaints, arguing that the proceedings were not maintainable as the complainants were not “allottees” under the Real Estate (Regulation and Development) Act, 2016. It was contended that the dispute raised complex questions of title and ownership that fall within the domain of civil courts and lie outside the jurisdiction of the Authority.

The Authority examined the scope of Section 31 of the Act and the definition of “allottee” under Section 2(d), observing that the statutory complaint mechanism is premised on a direct transactional relationship between the complainant and the promoter arising from allotment, booking, or sale of a unit. It noted that the complainants were independent plot owners who had never entered into any agreement with the developer and whose grievance was essentially a challenge to the inclusion of their land in the project. Such claims, the Authority held, do not fall within the framework of allottee-based disputes contemplated under the Act.

Holding that the complainants lacked the necessary locus standi, the Authority concluded that the complaints were not maintainable under Section 31. It observed that permitting such claims would effectively open the doors of the Authority to all third parties asserting rival title claims against registered projects, which is beyond the legislative scheme.

At the same time, the Authority made it clear that dismissal of the complaints does not curtail its independent regulatory powers. It noted that the material placed on record indicated potential non-compliance with statutory requirements, including issues relating to disclosures and registration. Emphasising the distinction between adjudicatory and regulatory functions, the Authority held that it is empowered to act suo motu in appropriate cases to safeguard the integrity of the regulatory framework and protect public interest.

In view of these findings, the Authority directed the Secretary of TG RERA to initiate suo motu proceedings under Section 35 of the Act against Sohini Builders LLP and place the matter before it for further consideration. While the complaints were dismissed as not maintainable, no order as to costs was passed.