The Gurugram real estate regulator fines a developer for running deceptive advertising

The policy commonly referred to as Deen Dayal Awas Yojna (DDJAY) 2016 has recently been inaccurately captioned as DDJAY 2024 in a newspaper advertisement, causing concerns over its correctness and clarity. In response to this issue, the Real Estate Regulatory Authority (RERA) based in Gurugram imposed a fine of Rs 25 lakh on Yashvi Homes Pvt Ltd for disseminating a “misleading advertisement” pertaining to their residential project, Golden Gate Residency, which is being developed in Sector 3, Farukhnagar, Gurugram, under the auspices of the DDJAY scheme. RERA Gurugram, in a suo motu decision, labeled the advertisement as “completely misleading.” It is noteworthy that the advertisement not only misrepresented the policy year but also failed to include the necessary project registration number and a link to the associated website. According to Section 11(2) of the RERA Act of 2016, it is mandatory for promoters to highlight the Authority’s web address prominently in any advertisement or promotion, which should contain all essential information about the registered project, including the correct RERA registration number. An official spokesperson for the Authority commented, “The amenities that were promised in the advertisement do not align with the approved layout plan submitted by the promoter during the registration process, as it does not provide for essential amenities such as a school, clubhouse, swimming pool, or sports courts.” Furthermore, the Authority has warned that real estate promoters will face legal repercussions if they persist in distributing misleading advertisements.