Noida-Greater Noida Authority Revokes Land Allotment of Developer Over Non-Payment of Dues

Spread the love


The allotment of two land plots of Parsvanath Developers has been cancelled by the Noida-Greater Noida Authority over non-payment of Rs 281 crore dues. The authority will be taking over the plot, located in Sector Pi of Greater Noida, to reallot them afresh. According to a report by Moneycontrol, the projects were slated to be complete by 2013.

The latest action against the developer comes after the Noida-Greater Noida Authority, earlier, this month, received a green signal from Supreme Court to recover dues from builders at interest rates fixed at the time of execution of the lease deed.

Earlier this week, the authority began issuing notices to the developers to pay their dues or face action.

“The Greater Noida Authority has started taking strict action against allottees who have neither cleared their dues nor completed their projects. The Authority’s CEO, Ritu Maheshwari, has said that those who have neither cleared their dues nor completed their projects will not be spared and their allotments will be cancelled,” the Noida- Greater Noida Authority said in a statement.

Parsvanath Developers were allotted plot numbers 11 and 5, both in Sector Pi, in 2006 and 2007. The developer paid Rs 7.14 crore of Rs 33.54 crore for plot number 11. The remaining amount had to be paid in 13 instalments till the completion of the project in 2013, However, the projects got stalled and the dues of the authority were never cleared.

Similarly, for the second plot, Prasvanath Developer, after paying Rs 2.52 crore of the Rs 11 crore, did not pay the later instalments agreed upon.

The Noida-Greater Noida Authority, in its statement, said that the developers were served multiple notices to clear the dues or face action. However, after no response from them, an action of cancelling the plot allotment has been initiated. A fresh allotment for both plots will be issued soon. Parsvanath Developers are yet to react to the action against them.

The Supreme Court, earlier this month, had recalled its 2020 order on capping the interest payable to builders on payment of dues. The apex court clarified that the 2020 order was only applicable to state owner NBCC, who were completing the pending Amprali projects.

Read all the Latest Business News here



Source link

Be the first to comment

Leave a Reply

Your email address will not be published.


*