The Real Estate Regulatory Authority, Bihar on December 20, 2024, issued a Standard Operating Procedure (SOP) for the maintenance & operation of Project Bank Accounts.
It is stated that Section 4(2)1) (D) of the Real Estate (Regulation and Development) Act, 2016 mandates that "seventy per cent of the amounts realized for the real estate project from the allottees, from time to time, shall be deposited in a separate account to be maintained in a scheduled bank to cover the cost of construction and the land cost and shall be used only for that purpose.
In compliance with the mandate as prescribed in Section 4(2)(1) (D) of the Real Estate (Regulation and Development) Act, 2016 and in order (a) to safeguard homebuyers' interests, ensure compliance, the following directions are being given by the Authority regarding maintenance and operation of Bank Accounts of Registered Real Estate Projects:
• Opening of RERA Project Bank Accounts
• Operation of Bank Account
• RERA Master Account
• RERA Project Account
• RERA Promoter Account
• Closure of separate bank accounts of the project
• Obligations of the Banks
This comes into force with immediate effect.
For more information, please refer to the document provided below.
[Letter No. RERA/Mix/Regstn/40/2020/1152]
