GMADA Public Notice
notice regarding various Promoter Companies, are booking plots/ftats/showrooms etc. in their projects before getting necessary approvals from GMADA.
Overview of the Notice
The Greater Mohali Area Development Authority (GMADA) issued a public warning after observing that some promoter companies were: booking plots, flats, showrooms and other properties before obtaining the required approvals from GMADA and registration with RERA. GMADA cautioned the general public against entering into property transactions in projects that had not yet obtained these approvals.
What Was GMADA Warning About?
According to the notice, certain promoters were offering or booking properties in projects before completing the required approval process. The notice specifically mentions:
- plots;
- flats;
- showrooms; and
- other sites/properties in such projects.
GMADA states that this practice violates the applicable provisions of: Punjab Apartment and Property Regulation Act and: Real Estate (Regulation and Development) Act
What Did GMADA Advise Buyers?
GMADA advised the public not to enter into any sale, purchase or transaction relating to a plot, site or apartment in a project that:
- has not received the necessary GMADA approvals; and
- has not been registered with RERA.
The warning is important because a project being advertised or accepting booking money does not automatically mean that its statutory approvals are complete.
Does a Booking Form Mean the Project Is Approved?
No. A developer may:
- advertise a project;
- display a site plan;
- collect expressions of interest;
- issue a booking form; or
- accept booking money,
but these things do not by themselves prove that the project has received the required government approvals. For a buyer, the important question is not: “Has booking opened?” It is: “Has the project actually been approved by the competent authority and registered with RERA?”
What If a Buyer Still Purchases in an Unapproved Project?
GMADA's notice is explicit. If a person enters into a sale, purchase or other transaction with a promoter in a project that:
- has not been approved by the competent authority; and
- has not been registered with RERA,
the buyer would do so: at his or her own risk and cost. GMADA further states that it would not be responsible for the consequences of such a transaction.
Does This Notice Name Any Particular Developer?
No. The notice refers generally to: various promoter companies It does not identify a specific:
- developer;
- colony;
- group housing project;
- plotted development; or
- commercial project.
Therefore, this notice should not be used to label any specific project as unapproved unless separate official records establish that status.
Why Is GMADA Approval Important?
For projects falling within GMADA's jurisdiction, planning and development approvals can relate to issues such as:
- project layout;
- land use;
- roads;
- open spaces;
- infrastructure;
- development conditions; and
- compliance with applicable planning regulations.
The exact approvals required depend on the type and location of the project. A marketing brochure is not a substitute for these approvals.
Why Is RERA Registration Important?
RERA registration provides an additional regulatory layer for projects that are required to be registered under the applicable law. Before paying booking money, buyers should verify whether the project has a valid: RERA registration number and whether the project information available with RERA corresponds to what the promoter is selling.
Practical Check Before Paying Any Booking Amount
A buyer should ask for documentary proof of:
- GMADA approval;
- project licence, where applicable;
- sanctioned/released layout plan;
- RERA registration;
- exact project name;
- promoter name;
- land ownership/title details;
- Khasra numbers;
- approved project area;
- approved number/type of units; and
- any conditions attached to the approval.
Do not rely only on:
- WhatsApp messages;
- brochures;
- social-media advertisements;
- property dealer assurances;
- booking receipts; or
- statements such as “approval is coming soon.”
“Approval Applied For” Is Not the Same as “Approved”
This distinction is especially important. A promoter may say: “GMADA approval applied.” That does not mean the project has been approved. Similarly: “RERA application submitted” does not mean the project already has a valid RERA registration. Buyers should ask for the actual: approval order / licence / RERA registration number rather than relying on an application acknowledgement.
Check the Exact Project, Not Just the Developer Name
A developer may have one approved project and another project still awaiting approvals. Therefore, the fact that a promoter has completed or registered another project does not automatically establish that the project you are considering is approved. Always verify: the exact project name and exact site.
Check the Exact Phase
The same caution applies where a project has multiple:
- phases;
- extensions;
- towers;
- blocks;
- commercial portions; or
- additional land parcels.
Approval for one phase does not necessarily cover every later phase or extension.
If You Are Buying a Plot
For plotted development, check:
- approved layout plan;
- plot number;
- plot dimensions;
- road width;
- Khasra numbers;
- licence/approval;
- RERA status, where applicable; and
- whether the particular plot appears in the approved plan.
A privately prepared site plan is not enough.
If You Are Buying a Flat
For an apartment project, verify:
- RERA registration;
- approved building plan;
- project/phase details;
- tower number;
- apartment configuration;
- promoter details; and
- expected completion information shown in the official registration.
If You Are Buying a Showroom or Commercial Unit
Commercial buyers should similarly verify that:
- the commercial component is part of the approved project;
- the unit is shown in the sanctioned plan;
- permitted use is commercial;
- the relevant phase is registered where required; and
- the promoter is authorised to sell that specific unit.
Does a Sale Agreement Make an Unapproved Project Approved?
No. A private:
- agreement to sell;
- booking agreement;
- receipt; or
- buyer-developer agreement
does not replace statutory development approvals. Private contractual documents and government approvals serve different purposes.
Does a Registered Sale Deed Automatically Prove Planning Approval?
No. Registration of a property document and approval of a colony/project are separate regulatory issues. A buyer should therefore not assume that a property is planning-approved simply because: registry can be executed or has already been executed. The status of the project should be independently checked with the competent planning authority.
What Should Existing Buyers Do?
If someone has already paid money for a project and later discovers that approval or RERA registration was not in place at the relevant time, they should first collect:
- booking form;
- payment receipts;
- agreement;
- advertisements;
- emails/WhatsApp messages;
- promised approval documents;
- project brochure;
- RERA information; and
- GMADA approval records.
These documents can help establish exactly what was represented at the time of booking.
What This Notice Does Not Say
The notice does not say that:
- every unapproved project would automatically be demolished;
- every booking agreement would automatically become void;
- every buyer would lose money;
- every promoter in the region was violating the law; or
- GMADA had identified a particular named project.
Those conclusions would require project-specific official records.
In Simple Words
GMADA's message to buyers was straightforward: Do not book or purchase a plot, flat or showroom merely because a promoter has started selling it. Before paying money, check whether the project has: required GMADA approval and: RERA registration, where required. If a buyer knowingly enters into a transaction in a project that has not received the necessary approvals, GMADA says that the transaction would be at the buyer's: own risk and cost.
The Most Useful Rule for Buyers
Before giving even the first booking amount, ask for: “Show me the actual GMADA approval and the RERA registration for this exact project and phase.” If the answer is only:
- “under process,”
- “approval expected soon,”
- “file is in GMADA,”
- “RERA will come later,” or
- “everyone is booking,”
the buyer still does not have proof of approval.
Issuing Authority
Chief Administrator Greater Mohali Area Development Authority (GMADA) PUDA Bhawan, Sector 62, S.A.S. Nagar
Suggested gmada.in Classification
Colony Regulation / Buyer Warning → Property Approvals → GMADA & RERA Suggested status: General Public Advisory – Verify Approvals Before Booking Useful tags: GMADA Approval · RERA Registration · Property Booking · Buyer Warning · Unapproved Projects · Flats · Plots · Showrooms
Practical Takeaway
This notice is useful even years later because it highlights a basic property-safety check: A project being marketed is not the same as a project being approved. Buyers should independently verify the exact GMADA approval, sanctioned project/phase and RERA registration before paying booking money or entering into a sale transaction. For complete and authoritative information, click “Open Original Document” to view the official source in full.