Cuttack: The Orissa High Court has issued a temporary stay on a recent state government notification that permitted the sale and registration of apartments constructed before the establishment of the Real Estate Regulatory Authority (RERA).
The Housing and Urban Development (H&UD) Department had issued the notification on February 1, 2024, allowing registration of apartments built before the enactment of the Real Estate (Regulation & Development) Act, 2017. However, the High Court suspended the directive while hearing a petition challenging its validity.
The petitioners argued that the Odisha Apartment Ownership Act, 2023, was enacted to replace the earlier Odisha Apartment Ownership Act, 1982, but the new law did not introduce any additional compliance requirements for apartment sales. They emphasized that under the new Act, a valid occupancy certificate, society registration certificate, and declaration are the minimum requirements for selling a flat.
The contentious government notification had stated that the 2023 Act would not apply to apartments built before RERA came into effect. However, the petition pointed out that the Odisha Apartment Ownership Act, 2023, explicitly states that it applies to all apartments, regardless of when they were constructed.
The petition further alleged that the state government attempted to override a law passed by the legislature through an executive instruction, which is legally untenable. Taking this argument into account, the High Court accepted the petition for hearing and issued a stay on the notification.
Reacting to the court’s decision, Housing and Urban Development (H&UD) Minister Krushna Chandra Mahapatra stated that the government would carefully examine the court order and take appropriate steps accordingly.
The High Court has directed the Urban Development Department to file its response at the earliest. The next hearing is scheduled for next Wednesday (February 19).
