According to a recent circular, issued by The Maharashtra State Police Department, the Government has implemented an addendum to The Maharashtra Ownership Flat Act-1963 (MOFA) & the MRTP Act 1966. According to the circular, builders are liable to be jailed for 3 years, 5 years or 9 years depending upon the nature of violation of the Act. You can find more info at : http://apartmentadda.com/blog/2016/09/01/maharashtra-ownership-flat-act-1963-mofa/

1. Maharashtra Ownership Of Flat Act
1963(MOFA)

2. Some of the violations on which the police can act:
1. Possession of flat is delayed
2. OC not obtained before the date of possession
3. BMC approval plan not displayed at the site
4. On receipt of 20% of cost of flat, if the agreement is not executed
5. The Act says that the entire amount collected by the builder under
different heads other than the cost of the apartment, needs to be
kept in a separate account.
6. If the construction is not as per the approved plan
7. If the application 4 formation is not put up within 4 months of
giving possession.
8. If the conveyance of land & building is not done within 4 months of
registration of the society

3. Why these violations happen:
• Builders give over optimistic project completion time – lines to obtain
faster sales.
• As a result, Owners have to keep paying EMIs or maybe rent which causes
financial issues.
• The Builder also raises extra floors which are not included in the
approved plan
• As a result, Residents will not get proper occupancy certificates.

4. Solution :
• The recent circular provides more power to wronged home owners
for exercising their rights.
• With Real Estate (Regulation & Development Act) 2016 (RERA) being
enacted and implemented across the country and errant builders can
be booked under MOFA

5. ENDFor more info: Visit ADDA Blog