A leading Indian industry organization Wednesday appealed to the government to appoint a real estate regulator to help expedite the redressal of consumer grievances.
"There is an urgent need for an efficient and focused regulatory body to overlook functioning of the real estate sector in order to ensure the industry development and safeguard of consumer interests in line with international benchmark," Sajjan Jindal, President, the Associated Chambers of Commerce and Industry of India (Assocham), said in a telephone interview.
The real estate regulator would ensure that the consumer grievances against developers, development authorities, real estate agents and financial institutions are addressed without any delay, he said.
Jindal said that opening of an escrow account for real estate players should be made mandatory to ensure transparency in real estate transactions.
The real estate industry elsewhere maintains an escrow account for development of a project, purchase of real estate units and honoring property charges.
"This facility needs to be encouraged by asking project developers to open an escrow account," Jindal said adding that "such accounts are also maintained for honoring property charges, insurance liabilities and maintenance charges on regular basis."