REHAB for ban on unregulated share-based housing businesses

The Real Estate and Housing Association of Bangladesh (REHAB) has called for a ban on unregulated real estate business models that sell land shares in exchange for promises of specific flats, warning that the practice is putting buyers’ investments and property rights at serious risk.
REHAB President Dr Ali Afzal made the remarks at a press conference at the CIRDAP International Conference Centre in Dhaka on Sunday.
REHAB leaders expressed their commitment to cooperating with the government and urged the Ministry of Commerce to take effective steps to resolve the situation and allow the association to resume its normal activities.
Nearly 40,000 people have reportedly been affected by such schemes, while around 9,823 related cases remain pending before the courts. The disputes involve approximately Tk12,000 crore, according to an investigative report cited by REHAB.
The association warned that nearly Tk50,000 crore could become entangled in legal complications over the next two to three years if the situation remains unresolved.
He said many share-based housing projects collect money without ensuring proper land ownership, approved building plans, construction standards or legally guaranteed flat allocation. 
As a result, buyers often face uncertainty over ownership, timely handover and the recovery of their investments.
He also raised concerns about alleged discrepancies between approved building designs and actual construction, warning that inadequate professional supervision could compromise building safety and quality.
REHAB urged the government to stop such unregulated business practices, conduct independent technical and legal audits of existing projects, investigate allegations of fraud and multiple land sales, and ensure transparency in financial transactions. 

It also called for qualified architects, engineers and professional construction supervision in every housing project.
Dr Afzal clarified that REHAB does not oppose legitimate joint ownership or transparent investment arrangements. However, he said no business model should be allowed to collect money without ensuring buyers’ legal rights, ownership security and guaranteed handover of flats.
Meanwhile, REHAB Senior Vice-President Abdur Razzak called on the Ministry of Commerce to complete its ongoing investigation promptly and restore the association’s normal operations.
He said REHAB had been facing disruptions to its regular administrative and organisational activities for nearly three months due to the investigation.
“We fully support and are cooperating with the ministry’s investigation. However, an investigation should not prevent an organisation from carrying out its normal activities,” he said.
He stressed that prolonged uncertainty over the association’s leadership and administrative functions was affecting its ability to protect the interests of its members.

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