‘We have tried to caution buyers’
Delhi Development Authority ( D DA ) v i c e c h a i r m a n Balvinder Kumar expresses serious concern over the real estate activities of welfare societies and developers in the land pooling zones much before the notification of the draft regulation of the land pooling policy. Some excerpts f rom his i nterview with Jeevan Prakash Sharma Are you aware that hundreds of welfare societies have been registered and that money is being collected for real estate activities under DDA’s land pooling policy? Yes, we have come to know about these activities from various people. On our part, we gave advertisements in newspapers twice to caution homebuyers that they risk their hard-earned money by investing in such ventures.
Why is DDA not taking any action against people involved in these activities? The problem is that we have not received any complaint yet. I know that it will be too late when people complain. The unfortunate part is that the educated and professional class is investing in these societies. If the draft regulation policy is notified, will you recognise these societies as land owners and accept their land under the land pooling scheme? A developer entity can be anything. It can be a company, a consortium, a society or any amalgamation of members, but we will recognise one entity from whom we will take land and return under the policy. So that way, if a welfare society owns land and wants to give it to DDA, there is nothing wrong in that. But when the draft regulation is yet to be notified, is it fair on the part of any company or society to collect money for that purpose? Also, some of these societies are registered under the Society Registration Act 1860 for welfare activities. You are right that when draft regulation of land pooling is not notified, collecting money for that purpose is illegal. Also, people need to understand that if a sufficient number of applicants don’t come forward from a
particular sector, it is possible that the sector may not be covered under land pooling policy at all. For example, there is a zone under which there is a sector which has a total of 250 hectares of land. To bring this sector under the land pooling policy, we need 60% of land. It means 60% land should be offered to DDA by the various landowners. If DDA gets less than that, then that sector will not be covered under the land pooling policy. So any society which is buying land at this moment is risking the money of its members because no one knows which sector has the potential to be covered under the policy. Out of all the land available in these zones, what percentage of the total is expected to come under the land pooling policy? According to my estimation, out of 100% area of the land pooling zones, maximum 30% will be covered under the land pooling policy. So what happens to welfare societies whose land falls in the rest of 70% area? What will they do then?
Another thing which will not be clear