TG RERA Closes Applications Against Abacus Real Estate Over Flat Allotment Dispute
Authority directs homebuyers to follow formal execution process
The Telangana Real Estate Regulatory Authority (TG RERA) has closed two applications filed by homebuyers against Abacus Real Estate Private Limited, formerly known as Abacus Constructions. The authority said the applicants had used the wrong procedural route to seek enforcement of an earlier RERA order.
The decision relates to a dispute involving flat allotments and the implementation of an order passed by TG RERA in August 2024. Importantly, the latest decision did not determine whether the developer's cancellation of the allotments and subsequent refunds fully complied with the earlier order.
What was the original dispute?
The matter involved homebuyers Erranki Santhoshi Priya and Erranki Srinivas and Abacus Real Estate.
In its August 1, 2024 order, TG RERA directed the developer to modify its draft Agreement of Sale in accordance with the prescribed format available through the authority. The order also imposed a ₹2 lakh penalty under Section 61 of the Real Estate (Regulation and Development) Act, 2016, in connection with a violation of Section 13.
The authority had also stated that the complainants could seek a refund of amounts paid without cancellation charges because an Agreement of Sale had not been executed.
Homebuyers questioned cancellation of flat allotments
According to the applicants, Abacus subsequently cancelled the allotments of the flats through letters dated August 26, 2024 and refunded the booking amounts.
The homebuyers argued that TG RERA's earlier order had not specifically directed the developer to cancel their allotments. They therefore approached the authority seeking implementation of the 2024 order through interlocutory applications.
Abacus, however, maintained that it had complied with the authority's directions. The developer said it had paid the penalty and refunded the booking amounts, and therefore no additional directions were necessary.
Why did TG RERA close the applications?
TG RERA's latest decision focused mainly on procedure rather than the underlying cancellation dispute.
The authority observed that the relief sought by the applicants was essentially an attempt to enforce an earlier RERA order. Under Telangana's 2025 Execution Proceedings Regulations, such enforcement matters are required to be brought through a formal Execution Application in Form-I.
TG RERA said an interlocutory or miscellaneous application cannot be used instead of the prescribed execution procedure. It therefore closed the two applications.
The cancellation issue has not been finally decided
One important point for homebuyers is that the latest order does not appear to settle the central question of whether cancelling the allotments and refunding the booking amounts amounted to complete compliance with the earlier RERA directions.
TG RERA specifically left that issue open for consideration through the appropriate execution proceedings. In other words, closing the applications on procedural grounds is different from ruling that either side was ultimately correct on the compliance question.
What this means for homebuyers
The case highlights an important procedural aspect of RERA proceedings in Telangana. Obtaining an order from a regulatory authority and enforcing that order can involve separate steps.
For buyers who believe a developer has not followed a RERA direction, the applicable execution procedure can therefore be significant. TG RERA has indicated that parties seeking enforcement of its orders should use the prescribed Form-I execution process and provide the required documents and particulars.
Why RERA procedure matters in property disputes
Real estate disputes can involve several separate issues, including agreements of sale, booking amounts, cancellations, refunds, possession and compliance with regulatory directions.
This case demonstrates why buyers should carefully distinguish between the original complaint, the order passed by RERA, and any subsequent execution proceedings. A party seeking enforcement may need to follow a specific procedural route rather than reopening the matter through a miscellaneous application.
A useful takeaway for property buyers
Homebuyers involved in a RERA dispute should keep copies of the original complaint, authority's orders, agreements, payment records, correspondence and any cancellation or refund documents.
If an authority has already passed an order and the buyer believes it has not been implemented, the applicable execution mechanism should be checked before filing a fresh application. The precise legal remedy can depend on the wording of the original order and the circumstances of the dispute.
Final perspective
The latest TG RERA decision involving Abacus Real Estate is primarily a procedural ruling. The authority closed the two applications because the applicants had not used the prescribed execution process. The substantive question of whether the flat cancellations and refunds constituted compliance with the earlier order was left open for an appropriate execution proceeding.
For prospective and existing homebuyers, the case is a reminder that understanding RERA's enforcement procedures can be just as important as obtaining an order in the first place.
