frauds in housing sector; Authority set up soon

THIRUVANANTHAPURAM: In view of the increasing number of cases of fraud being committed by builders of apartments, the government will set up a Housing Construction Regulatory Authority. Minister for Finance and Housing K M Mani told reporters here on Monday after releasing the citizen’s charter of rights of the Department of Housing that rules were prepared for this and they were under the scrutiny of the Law Department. The minister said that the government decided to set up an authority following the increase in the number of cases of fraud committed by the builders. The Central Government and the High Court had asked the State Government to set up such an authority to check recurring cases of such frauds.  The minister said that the Apartment Ownership Act of 1983 was still in operation in the housing construction sector. Mani said that many of the builders were starting the construction of flats after collecting money from the customers. The concessions offered while accepting the advance amount may not be available by the time the construction was complete. The flats also may not be having the essential  facilities. It is to deal with such complaints that the authority is being set up, he said. The Minister said that it was the duty of the government to ensure transparency in the dealings as well as quality service. He said a Secretary-level officer will be the chairman of the Authority. Besides the chairman, there will be two experts as  members in the Authority. The Authority will examine the licences and permits being issued by the local bodies to the builders. An Appeal Authority will also be constituted with a High Court judge as chairman and two experts as members. The minister  said a Housing Finance Development Corporation will be set up in the private sector. For the protection of houses of weaker sections, a Housing Risk Fund will be set up.  The government’s policy is to promote the housing sector with the public and private participation, Mani said. For finalising the draft of the Authority, a workshop will be held at the Mascot Hotel here on October 3, on  the World Habitat Day at 4 p.m. The citizen’s charter of rights released by the government will provide information on  the services  available to every citizen from the Housing Commissioner’s Office, Housing Board and Nirmithi Kendram.