Notice to 143 housing projects in G Noida to recover ₹14,184cr in dues

THE AUTHORITIES HAVE STARTED CRACKING DOWN ON REALTORS FOLLOWING THE SC ORDER ON NOVEMBER 7

The Greater Noida authority has issued notice to 143 housing projects seeking recovery of ₹14,184 crore dues from developers, while Noida has issued notice to 15 realtors for the same. “Today we issued recovery notices to 143 of 197 housing projects as the rest are fully paid-up projects. If the realtors fail to pay their dues, we will have to cancel their allotment according to the terms of the lease deed,” said Saumya Srivastava, deputy CEO, Greater Noida authority, on Tuesday.

A Noida authority official said, “We have issued notices to 15 more projects to recover our dues. Earlier, we had issued recovery notices to 75 projects. We will keep issuing recovery notices according to procedure.”

The twin authorities have started cracking down on realtors following the Supreme Court’s order on November 7 that said realtors will have to pay cost of land dues according to the terms of their lease deeds. In a plea in the apex court, realtors had sought simple interest of 8.5%, while the twin authorities had levied rates of up to 23% according to the deed.

“The government should rationalise penal interest and interest rate because realtors are going through a financial crisis. Otherwise, many projects will be impacted,” said Manoj Gaur, president of the confederation of real estate developers’ associations of India (Credai), NCR and CMD of Gaur Group.

Homebuyers are demanding the intervention of the state government in the matter. “Our demand is simple – that the state government resolve this deadlock and pave the way for registration of flats, which has not happened for many years due to the developers’ dues,” said Kapil Chauhan, a homebuyer.