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UPRERA i.e. the Uttar Pradesh Real Estate Regulatory Authority plans to propose the creation of stress fund for the completion of stalled projects. This move will offer relief to a huge number of homebuyers.

The authority tabled the proposal in the board meeting that took place in Lucknow as they invited suggestions and discussion on the same that will be forwarded to the Uttar Pradesh state government.

The homebuyers are demanding to form a stress fund help to developers like Jaypee, Amrapali and more as they are facing a financial crunch. The Amrapali group has 30,741 stalled flats while Jaypee has over 22,000 stalled flats.

Both, the Union and the State Government are yet reply to on the formation of stress fund.

Balwinder Kumar, UPRERA member informed that the proposal is ready and the same will be reviewed by the board in Lucknow. Being a RERA authority we want to balance the situation by protecting the right of homebuyers as the law takes its due time to take actions against the developers. He also said that the authority will mediate to complete the Projects.

He further said that the authority wishes to get financial assistance to complete the stalled projects as huge funds are required to construct the same. Also, the homebuyers cannot make payments and the banks do not lend loans on mid-stuck projects.

Abhishek Kumar, president of the Noida Extension Flat Owners Welfare Association (Nefowa) who is also a member of the UP-Rera Conciliatory Committee said that the developers have to indicate that the construction has begun before the homebuyers starts to make payments for the project. Presently, this has come to a standstill.

Earlier in June, the Forum for People’s Collective Efforts, an apex body of homebuyers, asked the State Government to form Rs 10,000-crore stress fund to complete the projects in the next five years.