(1) If a promoter or an Association or an apartment owner contravenes any provision of this Act or the rules made thereunder, or commits the breach of any provision of bye-law of the Association or of the terms and conditions of the Deed of Transfer of Apartment, or does anything detrimental to the health or safety of the public, the Competent Authority may issue, either suo motu or on an application from any person affected, a notice to such promoter or Association or an apartment owner to show cause why penalty should not be imposed and if no sufficient cause is shown, the Competent Authority may impose for each breach or contravention, a penalty of maximum one per cent of the price of the apartment or one thousand rupees, whichever is greater, and a further minimum penalty for each apartment of one hundred rupees for each day till the breach or contravention continues.
(2) The penalty under sub-section (1) may be recovered as an arrear of land revenue in case a promoter or an Association or an apartment owner on which such penalty is imposed fails to pay such penalty within a time, as determined by the Competent Authority, not exceeding fifteen days.