The Hindu : National : Notice to Centre, States on PIL petition seeking guidelines for real estates ads

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Tuesday, Mar 20, 2007
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National

National

Notice to Centre, States on PIL petition seeking guidelines for real estates ads

Legal Correspondent

NGO alleges that people across the country are being cheated by misleading advertisements

New Delhi: The Supreme Curt on Monday issued notice to the Centre and the States on a Public Interest Litigation (PIL) petition seeking national guidelines for real estate advertisements in the mass media by builders and property developers.

A three-judge Bench comprising Chief Justice K.G. Balakrishnan, Justice P.K. Balasubramanyan and Justice R.V. Raveendran issued the notice on the PIL filed by NGO, Sanrakshak-the Protector. The PIL alleged that people across the country were being duped by misleading advertisements in the print and electronic media by builders that their projects were approved.

Invariably after the publication of the advertisements the government or the authorities issued statements denying that approvals had been given.

Important questions

The NGO said the petition raised important questions of law, viz "whether the builders, developers and land mafia of this country can be given blanket permission to cheat the general public, by mis-representation and forgery, of their hard-earned money in the names of various residential schemes like pre-launch, advance booking etc. of residential plots, flats, apartments, housing society membership, etc by means of total false and misleading advertisements."

The petition alleged that people were being cheated of crores of rupees as there was no regulation on such advertisements.

It sought a direction to the various ministries to constitute a statutory or regulatory body to examine every aspect of the claim made in such advertisements.

The NGO contended that necessary amendment was required in the Indian Penal Code to insert section 420B as recommended by the Law Commission in section 420 (cheating) to deal with publication of false advertisements.

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