Section 38

Section 38 is the enforcement power provision — it ensures that the RERA Authority is not merely an advisory body but has genuine coercive power to investigate, compel production, and issue binding orders. **Civil court equivalent powers:** By giving the Authority the same powers as a civil court under CPC, Parliament gave RERA Authorities the full procedural toolkit — the ability to compel cooperation from reluctant promoters, examine their accounts, and enforce directions. **Penalty power (Section 38(1)):** The Authority can directly impose penalties for contraventions — without having to go to a separate court. This is the source of the Section 59–64 penalties which the Authority imposes in its regulatory capacity. **Natural justice (Section 38(2)):** The Authority regulates its own procedure, guided by natural justice principles — notice, hearing, reasoned order. This flexibility allows RERA Authorities to be less formal than courts while maintaining fairness. **Competition Commission referral (Section 38(3)):** If the RERA Authority encounters anti-competitive practices — for example, a cartel of builders fixing prices in a locality — it can refer the matter to the Competition Commission of India (CCI). This inter-regulatory coordination mechanism ensures that RERA does not operate in a silo. **Document inspection — financial scrutiny:** The power to inspect books of account is critical for enforcement of the 70% escrow requirement (Section 4(2)(l)(D)) — the Authority can compel the promoter to produce the escrow account statements and verify compliance. **Suo motu powers:** The Authority can take suo motu cognizance of violations — it does not have to wait for complaints. RERA Authorities in Maharashtra, Karnataka, and UP have used suo motu powers to investigate stalled projects, impose conditions, and protect allottees even without individual complaints.