Developers can’t use buyers’ funds to repay loans

25
04/2019

Developers can’t use buyers’ funds to repay loans

The UP-RERA & Haryana RERA has ordered that Developers should not repay loans taken from banks and financial institutions by using 70% of the total amount collected from buyers and allottees of a project in escrow accounts as that amount is meant to complete construction of the project and meet the land cost and have gone to the extent of directing the police commissioner to register a criminal case against the alleged miscreants.

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