Noida uploads list of 72 building project defaulters

CREDAI says applied for zero-period, also cites ongoing litigation

By: Express News Service | New Delhi | Published:May 29, 2017 1:02 am
real estate, indian real estate, demonetisation, demonetisation-real estate, second homes market, benami property, india news, indian express Of the 91 projects launched in Noida by 65 builders, the builders of 72 projects have defaulted and the Authority has enlisted project-wise details of land dues payable on its website.

Reacting to the Noida Authority’s decision to upload details of defaulting builders on their website for home buyers to use, Confederation of Real Estate Developers Associations of India (CREDAI) Sunday put the ball back in the Noida Authority’s court. The builders’ conglomerate said they have “repeatedly applied for zero-period” — for which the government hasn’t given the green signal — and that in other cases, the dues have been delayed due to ongoing litigation. The “zero-period” refers to a demand made by builders under which the interest accrued in the period when construction had stopped due to an NGT order in 2015 wouldn’t be asked for.

On Friday, Noida Authority had responded to the longstanding demand of home buyers that the defaulters be named on the authority’s website for five years in order to ensure that potential buyers make informed choices while purchasing flats. Of the 91 projects launched in Noida by 65 builders, the builders of 72 projects have defaulted and the Authority has enlisted project-wise details of land dues payable on its website. “A total of Rs 9,993.1 crore in land dues is payable to Noida Authority. This includes the interest levied since builders failed to pay their installments,” said an official.

The top three defaulters include Unitech (Rs 4,800 crore), Amrapali (Rs 1,076.81 crore) and Aims Max Gardenia Developers Pvt Ltd (Rs 1,055.63 crore). Manoj Gaur, president, CREDAI NCR, told The Indian Express that a number of builders within CREDAI had already applied to the Noida Authority while reiterating that the government was yet to agree to the 2012 respite offered by Noida Authority regarding the “zero-period”. He told The Indian Express, “Some have already applied for the zero-period waiver. Once the government gives a nod, the dues will drop considerably.”

Gaur, however, added, “Some of the big defaulters like Unitech aren’t members of CREDAI. So I am not in a position to comment on the same.” Noida Authority officials said Unitech has already applied for surrendering a part of its Rs 2,500 crore group housing land deals, a total of 219 acres of land of the 466 acres of land that had been allotted to it in 2007 in sectors 96, 97, 98, 112 and 117.

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