Noida and Greater Noida authorities will likely hold meetings with builders of defaulter group housing projects next week to discuss the difference in calculation of their dues. They have also been told to consult with the department and settle the issue as soon as possible to ensure that the registry process can begin soon. This comes around three weeks after the Noida and Greater Noida authorities adopted recommendations of the Amitabh Kant committee on legacy stalled projects, following an order by the Uttar Pradesh government. Under this new scheme, registration of flats can begin after the builder pays 25% of the outstanding amount (land dues) within 60 days. The scheme also gives two years’ zero-period relief to the builders, among other provisions. Under the zero-period waiver, interest and penal interest will not be levied on the builder for a specified period of two years, and the installments will be shifted beyond it. Lokesh M, Chief Executive Officer (CEO) of Noida Authority, confirmed that a meeting has been scheduled with the builders next week. “I had earlier held a meeting with 57 builders, where each one of them were informed about their dues after subtracting the zero period amount. However, some of them have raised objection to the calculations. So, this time the authority has planned to hold meetings with a group of 10 builders at a time. This way, they will get the opportunity to share their data and calculations, and if any problem arises, we will get it resolved as soon as possible and lock the deal,” said the CEO. Similarly, the Greater Noida Authority has also asked developers or builders to place their data if they have found any error in the calculation. Sources said that the authority has told the Stamp and Registration Department that they will begin the registry of 30,000 flats from February 15. There are a total of 117 projects in the authority area, where around 75,000 flat buyers are expected to get the benefit if the scheme is implemented in earnest. As per the scheme, the builders will get zero-period relief from April 1, 2020, to March 31, 2022, and free extension of three years to complete the project. This is being done to resolve the builder-buyer issues due to which lakhs of flat buyers are waiting for the registry for years. Many developers have not been able to provide flats to buyers in Gautam Buddha Nagar for various reasons such as non-availability of funds, increasing dues on builders, litigations, fund diversions, criminal cases against the realtors, etc. When the builder does not pay the land dues, authorities do not issue occupancy certificate and Completion Certificate among other documents – an important condition for the registry. To end this deadlock, the government has come up with the scheme under which after depositing 25% of the net land dues, the registry, plan approval, extension, etc. can begin immediately. The rest of the amount will be paid in installment in three years. Other relief to the builders are provision to bring in a co-developer if a builder is unable to complete the project, relaxation in conditions to mortgage etc.
