India, June 29 -- In a significant ruling differentiating genuine buyers from financial investors, the Maharashtra Real Estate Regulatory Authority (MahaRERA) held that investors entering commercial funding arrangements disguised as flat bookings cannot invoke the provisions of the Real Estate (Regulation and Development) Act, 2016, to seek a refund from a developer.

The order was passed by MahaRERA chairperson Manoj Saunik on a complaint filed by an individual against the project's current developer in Panvel, near Mumbai, as well as the former developer. The complainant sought a refund of over Rs.2 crore, claiming the deceased (buyer) had booked eight flats in the project under memoranda of understanding (MoUs) executed in September 20...