ORERA Passes 'Arbitrary Orders' with no Proper Bench Formation

City-based developers have accused the Odisha Real Estate Regulatory Authority (ORERA) of issuing “arbitrary” orders without constituting a proper bench. Recently, ORERA took up a suo motu case concerning a real estate project in Phulnakhara and ruled that the developer could not proceed with further bookings until the completed units were handed over to buyers.

Additionally, the order restricted the developer from collecting further payments, registering the association of allottees, obtaining an occupancy certificate for completed units, or transferring common areas to the association. Challenging this decision, the developer approached the Orissa High Court and secured a status quo.

"ORERA is harassing developers. They do not have a full bench to hear cases," said Ashish Garg, Managing Director of the real estate firm. He claimed that ORERA is supposed to have a three-member bench, but only two members were present during his hearing. "The order was completely arbitrary, which is why we moved the High Court and obtained a stay," he added.

A few months ago, another city-based developer challenged an ORERA order in the Odisha Real Estate Appellate Tribunal (OREAT) regarding a demolition notice for a residential project in Puri. ORERA had ruled against the developer after an activist complained that the project’s extension lacked approval from the Puri Konark Development Authority (PKDA).

The developer argued that ORERA’s decision lacked the signatures of all members and insisted that the authority should address complaints from buyers rather than activists. Developers continue to demand transparency in ORERA’s proceedings.