Better to abolish RERA as it only helps builders: SC

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Rapping the Real Estate Regulatory Authority (RERA) for its alleged pro-builder approach, the Supreme Court on Thursday said it should be abolished as the people for whom it was created were “completely depressed, disgusted and disappointed”.The comments came from a Bench of Chief Justice of India Surya Kant and Justice Joymalya Bagchi which stayed the Himachal Pradesh High Court’s December 30 order and allowed the state government to shift the RERA office from Shimla to Dharamsala.“All states should now think of the people for whom the institution of RERA was created. Except for facilitating builders in default, it’s not doing anything else. Better abolish this institution, we don’t mind that,” CJI Kant said. “It’s high time that all the states should revisit and rethink of even constituting this authority,” the Bench said while hearing an appeal filed by the Himachal Pradesh Government against the high court’s order staying the state government’s June 2025 notification to relocate the state RERA office.Issuing notice on the state’s petition, the Bench said it shall be subject to the final outcome of the case. Contending that the decision to shift the RERA office was taken to “decongest” Shimla city, the state government said it was purely based on administrative considerations. On Monday, the top court had set aside a stay ordered by the Himachal Pradesh High Court on the state government’s decision to shift the Himachal Pradesh State Commission for Backward Classes from Shimla to Dharamsala, saying such policy decisions would not ordinarily be justiciable.On behalf of HP Government, senior counsel Madhavi Divan said, “This is about the RERA which we seek to shift to Dharamsala”. The state’s Advocate General submitted that as per a policy decision, the state was developing Palampur, Dharamsala and other cities.Shimla is “completely over-exhausted”, the Bench commented.

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