Supreme Court of India: The power to supersede the authority is entrusted to the appropriate Government in terms of Section 82 of RERA Act.

Facts:

• On 5 January 2024, one of the members of PUNJAB RERA superannuated.
• On 7 February 2024, the Chairperson resigned without giving notice of three months and the resignation was accepted immediately by the state Government.
• With effect from 10 March 2024, the remaining member of PUNJAB RERA proceeded on leave for a period of three months until 6 June 2024.
• On 9 March 2024, the State Government in the Department of Housing and Urban Development issued notice to the Authority proposing to supersede the Authority.
• On 12 March 2024, the State Government issued an order under Section 82(1) superseding the Authority.
• On 13 March 2024, the Government appointed Shri M S Jaggi, IAS to exercise the powers and discharge the functions of the Authority under the Act in terms of the provisions of Section 82(1).

PIL in Punjab & Haryana High Court:
A Public Interest Litigation Keerti Sandhu & Ors. V/S State Of Punjab & Anr. CWP-(PIL) No. 48/2024 was moved before the High Court of Punjab & Haryana in which the order dated 14 March 2024 was passed by a Division Bench, where it noted that the authority has to exercise sensitive functions including permissions to be given to builders and dealing with complaints against builders and hence it is not in the interest of justice if the supersession is allowed at that point of time. Consequently, the order of the Government dated 12 March 2024 was stayed by the High Court.

Appeal in the Supreme Court of India:

• An appeal was preferred by the state in the matter of State Of Punjab & Anr. V/S Keerti Sandhu & Ors. 7152/2024 where the Supreme Court of India set aside the impugned order dated 14 March 2024 of the High Court.
• It also held that the power to supersede the authority is entrusted to the appropriate Government in terms of Section 82.
• It also noted that the order of the High Court staying the notification of the State Government dated 12 March 2024 would not advance the purpose and object of the statute.
• A stay on the supersession cannot either bring back the member who has superannuated or restore the Chairperson who has tendered his resignation.

Written By: Advocate Rajan Kumar Hans ( Hans & Hans Advocates and Consultant)
Ph no: +91-9700130033 or [email protected]