Noida Authority CEO, Ritu Maheshwari, directed officials to initiate stricter actions such as sealing of unsold units in 115 projects that include both residential and commercial and have pending dues, issuance of recovery certificate (RC) against defaulter builders who have neither shown interest in the Authority’s reschedulement policy to clear their dues nor sought permission for flat-wise registry in their projects.
According to Noida Authority officials, so far nearly eight defaulter builders have shown interest in the reschedulement policy, which was approved in December 2022 and launched in January 2023.
Officials said that till February end only 19-20 defaulter builders had come forward under the Authority’s flat-wise registry scheme.
The Authority noted that the CEO also issued directions to immediately display information regarding dues of builders, project wise occupancy, completion certificates, and updated status of registry of flats on its website.
The directions were issued in a review meeting of group housing department on topics of dues in 115 projects, reschedulement policy, registry and work plan for recovery of pending dues. ACEO Noida Authority, OSD (group housing), General Manager (planning) and AGM (group housing) were present in the meeting.
Maheshwari also directed to immediately start the process of registration of flats in Amrapali group societies by coordinating with the Amrapali Court Receiver. Matters pertaining to Amrapali group are being heard by the Supreme Court.
The Authority noted that in case of completed projects, immediate recovery process should be started by issuing RCs against defaulter builders who are neither showing interest in the reschedulement policy to clear their dues and nor seeking permission for flat-wise registry in their projects.
“For projects which are under construction and have pending dues of the Authority then in such cases the process of partial cancellation or tower sealing and issuance of RC should be started in parallel so that recovery of dues can be assured,” the Authority said in a statement on March 14.
In the review meeting, directions were also issued to seek legal opinion and initiate appropriate actions for clearance of dues in projects covered under National Company Law Tribunal (NCLT).
In its board meetings on December 28, 2022, the Noida Authority had approved a policy to re-schedule the payment of builders’ dues, and also relaxed the time-extension charges.
A Noida Authority official said that so far nearly eight defaulter builders have shown interest in the reschedulement policy. The window to avail the reschedulement policy will be open till March 31, 2023. Under the scheme, the developer can pay up to 20 percent of the dues upfront and the remainder within a two-year period. They would be allowed to register housing units based on the quantum of dues paid.
The official, however, did not divulge names of the developers who have opted for the reschedulement policy. The policy will help developers shed their defaulter tag and the start registration of properties, which will help homebuyers.
The Authority had issued notices to 56 developers for dues of Rs 9,000 crore but has so far collected only Rs 350 crore till February 2022 end.
Also Read: MC Explains: Will the re-schedulement policy for the payment of builders' dues help developers & homebuyers
According to reports, builders owe almost Rs 40,000 crore to the authorities – Rs 26,000 crore to the Noida Authority and almost Rs 14,000 crore to the Greater Noida Authority.
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