10-Oct-2019

06-Dec-2019

07-Jan-2020

CREDAI Bengal Daily News Update | 07.01.20

Buyers file plea in SC challenging Insolvency & Bankruptcy Code

amendment

"The writ petition has been filed by 11 petitioners of 11 different projects being

constructed by Pioneer Urban Land & Infrastructure, Emaar MGF Land, BPTP,

Supertech, Ansals, among others," said advocate Aditya Parolia of PSP Legal

representing the buyers.

Home buyers have challenged the ordinance passed by the central government to amend the

Insolvency & Bankruptcy Code (IBC) 2016. They have demanded stay of the operation of

Section 3 of the Insolvency and Bankruptcy Code (Amendment) Ordinance, 2019 which seeks

to amend Section 7 of IBC.

"The writ petition has been filed by 11 petitioners of 11 different projects being constructed by

Pioneer Urban Land & Infrastructure, Emaar MGF Land, BPTP, Supertech, Ansals, among

others. The petitioners claim that they are aggrieved by the inactions of the developers and the

arbitrary approach adopted in promulgating the ordinance titled Insolvency and Bankruptcy

Code (Amendment) Ordinance, 2019," said advocate Aditya Parolia of PSP Legal representing

the home buyers.

The ordinance is completely against the fundamental rights guaranteed to the home buyers

(Financial Creditors) under Article 14 and 21 of the Constitution of India, said the plea.

"The central government has brought in the ordinance with absolute discrimination by putting a

precondition/threshold in the form of minimum number of allottees of a particular project

required for filing an application for triggering the code under Section 7 of the IBC, which is

not applicable to other financial creditors under IBC," said Piyush Singh, advocate, PSP Legal

who is representing the home buyers.

"The ordinance is contrary to the well settled principle as laid down in the Pioneer Urban Land

and Infrastructure & Anr. v. Union of India and has rendered the said judgement ineffective,"

added Singh.

According to the home buyers' plea, the time period of 30 days as specified in Section 3 of the

ordinance is impossible for any individual allottee to gather so many financial creditors of the

same project to meet out the minimum threshold.

Newspaper/Online ET Realty(online)

Date January 06, 2020

Link https://realty.economictimes.indiatimes.com/news/regulatory/buyers-files-plea-in-sc-challenging-insolvency-bankruptcy-code-amendment/73127166

"The details of the allottees are never published on any website or public domain as the same is

impermissible

under the law to publish the details of the allottees in such public domain as the same would

result in violation of their Right to Privacy as guaranteed under Article 21 of the Constitution of

India," said Parolia.

Also, section 3 of the ordinance on the face of it is violative of Article 14 as the threshold of

minimum of 10% or 100 of the total allottees in a given project for filing an application under

Section 7 of the IBC is only applicable to real estate allottees or other class of creditors and not

for any other financial creditors, the home buyers said in their petition.

________________________________________________________________________________________________

Tata Capital Housing launches ₹2,000 crore maiden NCD issue

The debentures are rated AAA/stable by rating agencies Crisil Ltd and Icra

The lead managers to the issue are Edelweiss Financial Services Ltd and A.K. Capital

Services Ltd

Tata Capital Housing Finance Ltd (TCHFL), a wholly-owned subsidiary of Tata Capital

Ltd, launched its maiden public issue of secured and unsecured redeemable non-convertible

debentures (NCDs) worth ₹2,000 crore on Monday.

The debentures are rated AAA/stable by rating agencies Crisil Ltd and Icra.

The lead managers to the issue are Edelweiss Financial Services Ltd and A.K. Capital

Services Ltd.

As on 30 September 2019, the housing finance firm had raised a total debt of ₹26,120 crore.

Of this, bank borrowings comprised 43%, funding from the National Housing Bank (NHB)

21%, sub-debt 2%, external commercial borrowings 2%, cumulative compulsory

convertible preference shares (CCCPS) 6%, bonds 15%, and commercial papers the

remaining 11%, according to the company’s presentation.

“Our strategy has been to diversify our borrowings, increase loan tenures and bring down

the cost of funds. What we have done is reduced our borrowing from commercial papers

and increased borrowing from public NCDs, as well as bank borrowings, to match our

assets with long tenure loans," Rajiv Sabharwal, managing director and chief executive,

Tata Capital Ltd, said in an interview.

The company also got a capital infusion from its parent, which further improved its gearing

level (the ratio of its borrowed funds to its equity) to 9.5 times, he said. “At the beginning of

FY20, Tata Capital infused ₹300 crore into TCHFL. The capital infusion from the parent is

based on its loan book."

In terms of growth strategy, Sabharwal said, the company would seek to grow the affordable

housing loans portfolio to 30% of its book over the next 12 months. “We are increasing our

presence in the affordable housing segment, which we believe will give us better NIMs (net

Newspaper/Online Live Mint(online)

Date January 06, 2020

Link https://www.livemint.com/industry/banking/tata-capital-housing-launches-2-000-crore-maiden-ncd-issue-11578330408521.html

interest margins, a measure of profitability) than the normal housing loans. In fact, this will

be the biggest part of our strategy in trying to ensure that NIMs improve," he said.

As on 30 September, mortgage loans (home loans and home equity) made up 87.79% of the

company’s loan book, and construction finance loans the remaining 12.21%.

The affordable housing finance portfolio, according to Anil Kaul, managing director of Tata

Capital Housing Finance, currently comprises 20% of its total loan assets. “We will

continue to increase our presence without compromising on asset quality; a 10% change is a

significant jump. This proportion of change will positively impact on our NIMs and we

could seem them moving north of 3%," he added.

_________________________________________________________________

Kozhikode civic body to conduct beneficiary meet of LIFE, PMAY

scheme

The get together is being organized to mark the completion of two lakh houses across the

state under LIFE and PMAY in the state by January 2020.

Labour and excise minister T P Ramakrishnan will inaugurate the get together of beneficiaries

of Life Mission housing scheme and Prime Minister Avas Yojana (PMAY) of Kozhikode city

corporation at a function to be held at the Tagore centenary hall on January 9.

The get together is being organized to mark the completion of two lakh houses across the state

under LIFE and PMAY in the state by January 2020.

Chief minister Pinarayi Vijayan will declare the announcement of completion of two lakh

houses under the LIFE housing Scheme on January 26.

In the Kozhikode corporation Limits, out of the 2,590 identified beneficiaries of LIFE and

PMAY housing schemes, the civic body has disbursed financial aid to 2,363 beneficiaries to

construct houses.

Construction work of 1,000 houses were completed under LIFE and PMAY schemes so far.

The civic body will set up the special counters of agriculture department, social justice

department, IT and industrial department, dairy development department, health department,

sanitation mission and lead bank to render its services to the people.

The civic body will also put up counters to receive applications of ration card, Aadhaar card,

gas connection, Ayyangali Urban Employment Guarantee scheme, old age pension, pension for

unmarried women and pension for farmers during the occasion.

The civic body will also receive applications from public to rectify anomalies in the ration cards

and Aadhaar cards during the occasion.

Corporation will also distribute stalls to sell fruit tree saplings, growbags and other planting

materials at subsided rate.

________________________________________________________________________________________________

Newspaper/Online ET Realty (online)

Date January 06, 2020

Link https://realty.economictimes.indiatimes.com/news/industry/kozhikode-civic-body-to-conduct-beneficiary-meet-of-life-pmay-scheme/73115348

After 30 years, Bareilly development body plans to renovate

Kargaina Awasya Yojana

The scheme was launched in 1990 with an aim to house around 700 families from

economically weaker sections of society. However, it failed to take off earlier.

Bareilly Development Authority (BDA) is planning to take up renovation and developmental

works at the 30-year-old Kargaina Awasya Yojana, located on the city’s outskirts. The scheme

was launched in 1990 with an aim to house around 700 families from economically weaker

sections of society. However, it failed to take off earlier.

According to BDA officials, the scheme attracted few takers as a dispute arose over rates of

the residential flats and people did not approve of it. Moreover, those who were allotted the flats

failed to pay the installments which resulted in stalling developmental works. Now, people have

come forward and requested that BDA to take up renovation work to ensure occupation of the

flats. A drive has been initiated to take up civic works, including cleaning and declogging of

drains in the area, said the officials.

Speaking with TOI, Bareilly Development Authority vice-chairperson Divya Mittal said, “The

housing scheme was initiated in 1990 with an aim to house as many as 732 families from

economically weaker section. At that time, cost of one flat under the yojana was around Rs

35,000. Later, the housing scheme could not take off properly as people did not approve of the

rates and disputes arose.

As public response to the BDA scheme was poor, it ultimately affected development works,

which were later stalled. As the developmental works were hampered, the place slowly

degenerated into a slum area. Now, people, including allottees, are approaching the

development authority, demanding that renovation works should be taken up in the yojana.

Since locals have begun to show an interest, we are planning to resume the housing scheme and

initiate its beautification/renovation to ensure settlement there.”

Asked about its present condition, Mittal said, “At present, only a few families have occupied

the flats. Some work related to land acquisition from farmers is also pending. Once it is

completed, it will be finalised how much area of the Awasya Yojana will be redeveloped. New

rates will be decided and a detailed project report (DPR) will be forwarded for sanction. As of

now, we have commenced surveys of the area. Initially, a cleanliness exercise and unclogging

of drains will be taken up. Eviction drives will also be launched and people who have illegally

Newspaper/Online ET Realty (online)

Date January 06, 2020

Link https://realty.economictimes.indiatimes.com/news/residential/after-30-years-bareilly-development-body-plans-to-renovate-kargaina-awasya-yojana/73115313

occupied the place will be removed.”

The BDA has taken up developmental works in the city in full swing and has been taking up

measures to ensure successful settlement of its projects. Recently, development of a “science

park” and “forest cover” has also been proposed in Ramganga Nagar Awasya Yojana by BDA

to attract home buyers to the housing yojana. The projects, having budget of Rs 3.70 crore and

20 crore, respectively, are set to be completed by 2020- end

_______________________________________________________________________________________________

Year on, Atal housing scheme still on paper in Ludhiana

The demand survey was conducted last year in January with the objective of gauging the

public’s response to the scheme.

Even a year after the demand survey for Atal Apartment Scheme was carried out in the city,

the Ludhiana Improvement Trust (LIT) officials have not made any headway in the project.

The demand survey was conducted last year in January with the objective of gauging the

public’s response to the scheme. Even as the survey garnered positive response from the

citizens, the housing scheme is yet to become a reality.

Whilel LIT officials have claimed to be waiting for technical approvals, sources contradicted

the same by revealing that the local bodies department is doubtful about starting the project,

which might lead to dropping of the scheme for the second time.

Around 825 applications were received by the LIT officials. Now, these applicants have been

raising questions about not having heard from the LIT authorities till date.

The officials had earlier said they would seek permission under RERA for the housing project

to complete it in a time-bound manner, but now they far from even getting technical approvals.

A resident from SBS Nagar, Vineet Rawal, who had also participated in the demand survey

said, “The survey got over on January 31, 2019, but no information has been passed on from the

LIT’s side about the scheme.”

He said the LIT officials had collected money from the applicants who were now feeling

cheated, have demanded to be informed if the development authorities were to change their

plans about the housing project and return their money too.

When contacted on the issue, LIT executive engineer Boota Ram said, “Immediately after

receiving good response in the demand survey, we had sent the project file for technical

approval, but we are yet to receive it from the state government. Without this nod, we cannot

move ahead.”

As per information, the Atal Apartments project has been hanging fire since 2010-11 when the

department had announced to construct over 450 flats over 8.8 acres of land near Pakhowal

Road. The foundation stone for the project was laid in 2011. But the work did not start for long

Newspaper/Online ET Realty (online)

Date January 06, 2020

Link https://realty.economictimes.indiatimes.com/news/residential/year-on-atal-housing-scheme-still-on-paper-in-ludhiana/73115255

until the LIT organised a draw for the allotment of the flats in December 2016. The department

allotted flats to 110 allottees, of which 80 applicants had even deposited partial amount for

luxury flats worth Rs 65 lakh.

As rest of the allottees did not deposit the amount, the bank authorities deducted Rs 3 crore

from the LIT account. Due to this, in August 2017, the local bodies department had decided to

drop the project.

________________________________________________________________________________________________

Nashik civic body to bring about 59,000 new properties under tax

net

The NMC has already conducted hearing on objections by 10,000 properties, while

hearing on the remaining properties will begin from next week.

The Nashik Municipal Corporation (NMC) has decided to bring as many as 59,000 new

properties under the tax ambit from financial year 2020-21.

The civic body had identified these new properties during a survey conducted around a year

ago. The NMC has already conducted hearing on objections by 10,000 properties, while hearing

on the remaining properties will begin from next week.

Addition of these new properties is expected to increase the civic body’s revenue

through property tax by around Rs 30 crore. The NMC had conducted a survey of new

properties through a New Delhi-based private agency and had found a total of 4.88 lakh

properties in the year 2018. The survey revealed the presence of around 59,000 new structures

across the six divisions.

The civic later sent notices to owners of these new properties, asking them to pay the property

tax. However, around 25,000 people took objections and filed written complaints with the civic

body alleging that they were served inflated and faulty bills, while others complained that they

bought the house in 2016, but got the property tax bills since 2012.

The issue was discussed for long during the general body meeting held in December 2018.

Some corporators even claimed that the private agency had conducted the survey with the help

of city students.

Following this, city mayor directed the civic administration to cancel all the notices of property

tax sent to owners of new properties and conduct a new survey.

Accordingly, municipal commissioner Radhakrishna Game had announced that property tax

collection from these new properties would be started only after a hearing and proper

verification is done. Of the 59,000 new properties, 21,000 properties have completion

certificates and there were no issues with such properties.

“We have plans to bring these new properties under property tax net from the next financial

Newspaper/Online ET Realty (online)

Date January 06, 2020

Link https://realty.economictimes.indiatimes.com/news/regulatory/nashik-civic-body-to-bring-about-59000-new-properties-under-tax-net/73115288

year,” an NMC official said.

The NMC collected Rs 112 crore through property tax in the last financial year and is eyeing

revenue of Rs 218 crore in the current fiscal. So far, the civic body has collected Rs 109 crore as

property tax.

________________________________________________________________________________________________

CBI court rejects report in multi-crore amusement park scam

involving Unitech

These officers had allegedly “ignored” the highest bidder, DLF, and allotted the project to

Unitech. The case had been referred to the CBI by the Central Vigilance Commission

(CVC).

A special CBI court on Monday rejected the third closure report submitted in the multi-crore

theme-cum-amusement park project scam and summoned former UT adviser Lalit Sharma,

former home secretary Krishan Mohan and former tourism director Vivek Atray

and Unitech Limited director Ajay Chandra on January 20, implying that the trial would start.

Sharma, Mohan and Atray and Chandra had been booked for corruption, abuse of power and

criminal conspiracy under sections 120 B, 420 and 201 of the IPC and sections 13(1)d and

section 13(2) of Prevention of Corruption Act.

The CBI had registered the FIR on October 4, 2010, stating that former top UT officials in

connivance with Unitech Limited indulged in criminal conspiracy and awarded 73.65 acres of

land in Sarangpur to the company for a Rs 5.5-crore fixed annual licence fee and on 1.1%%

annual revenue sharing basis.

It was alleged the administration ignored financial rules while inviting tenders and shortlisting

companies. These officers had allegedly “ignored” the highest bidder, DLF, and allotted the

project to Unitech. The case had been referred to the CBI by the Central Vigilance Commission

(CVC).

The third closure report was submitted in November 2018, stating no evidence was found

against the accused. The CBI had earlier moved two closure reports in the case but the court

rejected them, stressing the need for further investigation.

The court order stated, “The CBI had filed closure report in the case thrice. Complainant Vivek

Aditya was not satisfied with the investigation and the closure reports. He has submitted

photocopies of documents related to the arbitration proceedings initiated by Unitech Limited

against the administration and claimed Rs 95 crore with respect to the project in question. The

closure report is rejected and all the accused ordered to be summoned for January 20.”

The closure report stated, “...sufficient evidence has not emerged against the accused during the

course of investigation. Further, no evidence has also emerged that the accused

officials/accused company were in knowledge about the financial bid of DLF, in absence of

Newspaper/Online ET Realty (online)

Date January 07, 2020

Link https://realty.economictimes.indiatimes.com/news/regulatory/cbi-court-rejects-report-in-multi-crore-amusement-park-scam-involving-unitech/73131327

which it could not be conclusively established that the accused officials acted in conspiracy

with each other, to deliberately disqualify DLF and for making Unitech Limited the highest

bidder. However, as the project has winded up…, no criminality can be attributed to the

accused. The project has not been implemented ever since and thus no wrongful loss/gain was

seen to have finally accrued to anyone.”

THEME PARK PROJECT SCAM

The Central Vigilance Commission (CVC) probed financial irregularities in the multi-crore

theme-cum-amusement park project following a complaint from Vivek Aditya, an RTI activist,

in 2009

The case was later shifted to the CBI

The CBI registered the FIR on October 4, 2010

It was alleged UT officials in connivance with Unitech Limited indulged in a criminal

conspiracy and awarded 73.65 acres of land in Sarangpur for a Rs 5.5-crore fixed annual licence

fee and on a 1.1%% annual revenue sharing basis

It was alleged the administration ignored financial rules while inviting tenders and shortlisting

company for the project

The officers were accused of “ignoring” the highest bidder, DLF, and allotted the project to

Unitech

The project never saw the light of the day after allegations of irregularities

1st closure report | April 18, 2012

Court rejected it on August 29, 2012

2nd closure report | February26, 2013

Court rejected it on June 7, 2013

________________________________________________________________________________________________

Bank of Maharashtra cuts MCLR by up to 45 basis points

The new one-month and three-month MCLR rate now stands at 7.70 per cent and 7.75 per

cent, respectively. The bank has also revised its base rate by 10 basis points to 9.40 per

cent.

State-owned Bank of Maharashtra Monday said it has reduced its marginal cost of funds based

lending rates (MCLR) by up to 45 basis points across various tenors, effective from January 7.

The lender has slashed its one-year MCLR to 8.25 per cent from 8.40 per cent earlier.

Overnight rate has been reduced to 7.60 per cent from 8.05 per cent.

The new one-month and three-month MCLR rate now stands at 7.70 per cent and 7.75 per cent,

respectively.

The bank has also revised its base rate by 10 basis points to 9.40 per cent.

Last week, mortgage player HDFC reduced its benchmark lending rate by 0.05 per cent.

New rates will now range between 8.20 per cent and 9 per cent, and the change will benefit all

existing customers, HDFC had said.

Recently, SBI had slashed in its external benchmark-based rate by 25 basis points to 7.80 per

cent from 8.05 per cent.

The rate cut by lenders come despite the RBI keeping its benchmark repo rate unchanged at

5.15 per cent in December monetary policy review.

While the RBI had cut repo rates by 135 bps in five policy reviews in 2019, the one-year

median MCLR has declined by only 49 basis points.

The weighted average lending rate (WALR) on fresh rupee loans sanctioned by banks declined

by only 44 basis points.

_____________________________________________________________________________________________

Newspaper/Online ET Realty (online)

Date January 07, 2020

Link https://realty.economictimes.indiatimes.com/news/allied-industries/bank-of-maharashtra-cuts-mclr-by-up-to-45-basis-points/73131286

Life housing mission's family meet and adalats begin in Kerala

The state-level inauguration of them was held at Varkala by minister for local self

government A C Moideen.

Life housing mission has kicked off block-level family meetings and adalats.

The state-level inauguration of them was held at Varkala by minister for local self government

A C Moideen.

The minister said life mission not only aims at giving homes to the homeless but also at

bringing them to the mainstream by giving social and employment aid. He said CM Pinarayi

Vijayan will declare completion of 2 lakh homes under life mission by January last week.

The minister also distributed keys of completed houses to the beneficiaries. The panchayats that

showed good performance in implementing life mission were also honoured. K P Sabukuttan

Nair, deputy CEO, life mission, presented the progress report of the mission.

The family meetings are convened to facilitate service of around 20 departments under the same

umbrella. Services of local self government, agriculture, social justice, Kudumbasree,

MGNREGS, SC/ST and health departments were made available during the adalats. The

renewal of voter ID card and Aadhaar card-related services were also held.

________________________________________________________________________________________________

Newspaper/Online ET Realty (online)

Date January 06, 2020

Link https://realty.economictimes.indiatimes.com/news/industry/life-housing-missions-family-meet-and-adalats-begin-in-kerala/73115428

New rule triggers spurt in small apartments in Chennai

Data with Greater Chennai Corporation (GCC) shows that in the past three months,

around 270 applications have been received for house re-development.

Many residents across the city are making use of a change in floor space index rule to demolish

their stand-alone houses and construct apartments, making better use of the space and earning

more rent.

Data with Greater Chennai Corporation (GCC) shows that in the past three months, around 270

applications have been received for house re-development. This follows a rule change allowing

increased floor space index for buildings in the city.

GCC brought in the rule change after it was given powers to sanction permissions for

construction of buildings for stilt plus three floors. Zonal offices can sanction building permits

up to eight kitchens, while at the headquarters, permission can be given for buildings with up to

16 kitchens.

“Earlier, GCC could give permissions only for six kitchens,” said a senior official. This

delegation of powers from Chennai Metropolitan Development Authority (CMDA) to GCC has

happened in the last two-three months, say officials. This is for areas above 5,000sqft.

Permissions for number of floors are given based on the width of the road abutting the

buildings, an official said.

GCC officials say this indicates how residents who were living for many decades in stand-alone

houses are willing to redevelop and rent it out for residential or commercial purposes. “Senior

citizens and families feel the pinch when it comes to maintenance of big houses. Many

applications are coming in for houses in residential localities, who have had single houses for

many years,” said an official.

S Ramaprabhu, chairman of Builders Association of India, southern centre, said this would give

a fillip to the affordable housing segment in the city. “This was a long-pending demand. Though

the combined building rules were issued in February, the delegation of powers was given only a

few months ago,” he said.

Some corporation officials and residents, however, say this would bring a strain on the

groundwater, sewage and garbage collection systems. In a redeveloped building, at least four or

five families would be consuming the resources. This poses a risk of groundwater running dry,

as most Chennaiites depend on borewells to meet the shortfall in Metrowater’s supply.

Newspaper/Online ET Realty (online)

Date January 06, 2020

Link https://realty.economictimes.indiatimes.com/news/residential/new-rule-triggers-spurt-in-small-apartments-in-chennai/73115227

Ramaprabhu said the government should ensure to topup facilities, especially in sewage and

water supply, as required in areas that saw such increased redevelopment.

________________________________________________________________________________________________

PMC Bank extended Rs 6,121 crore as loans to HDIL on Rs 3,122

crore as collaterals

The charge sheet says that while HDIL began defaulting on loans as far back as 2011, the

bank continued extending it new loans without tying in any extra guarantees

The Punjab and Maharashtra Cooperative Bank (PMC) has in its possession collaterals only

worth a little over Rs 3122.89 crore for loans of Rs 6,121 crore extended to troubled realty

firm HDIL.

A charge sheet filed by the Economics Offences Wing (EOW) of the Mumbai police at

the Esplanade court last month, where a case of fraud against the bank’s directors and HDIL

promoters is being heard, says that while the construction major began defaulting on loans as

far back as 2011, the bank continued extending it new loans without tying in any extra

guarantees. The charge sheet also quotes a Reserve Bank of India report saying the bank did not

seek enough guarantees from HDIL for the loans disbursed.

Mumbai Mirror was first to report the central role paid by HDIL in PMC’s collapse. The bank’s

exposure to HDIL was a staggering 75 per cent of its entire loan book. Aloan consultant, who

did not wish to be identified, said banks usually advance loans only worth 50 to 60 per cent of

the land value on which the concerned firm proposes to carry out the project. “If a company is

seeking a loan for a project on a land worth say around Rs 100 crore, then the loan advanced

would be in the range of Rs 50-60 crore,” he said. In HDIL’s case, as the figures quoted above

show, PMC stood this rule on its head.

The charge sheet also points out the personal and financial proximity of PMC directors with

HDIL promoters. The PMC managing director Joy Thomas, who is now under arrest, was with

the bank since its inception and had witnessed the Wadhawan family supporting it during its

worst time. “Thomas felt obligated to the Wadhawans and he ignored every rule, every norm

while extending loans to HDIL,” said an investigating officer requesting anonymity.

The charge sheet also mentions the relationship between PMC chairman Waryam Singh and

HDIL promoter Rakesh Wadhawan. The two not only attended college together, they ventured

into real estate business as partners. Over the years, Singh held important positions in several

HDIL firms.

Thomas, Waryam Singh, Rakesh Wadhawan and his son Sarang Wadhawan are among the12

Newspaper/Online ET Realty (online)

Date January 07, 2020

Link https://realty.economictimes.indiatimes.com/news/industry/pmc-bank-extended-rs-6121-crore-as-loans-to-hdil-on-rs-3122-crore-as-collaterals/73131244

people under arrest in the case.

The charge sheet quotes an RBI report pointing out glaring financial irregularities in granting

loans to HDIL. For instance, RBI has recorded financial dealings between Waryam Singh’s kin

and HDIL Budget Home Pvt Ltd, a company Singh sanctioned loans to in his capacity as PMC

director.

________________________________________________________________________________________________

Lucknow civic body must recover Rs 40 crore house tax in three

months

Against a tax target of Rs 260 crore from 5.48 lakh households under its jurisdiction, the

LMC has been able to collect around Rs 220 crore from 3.98 lakh till date.

The municipal corporation is likely to miss its housing tax collection target for the third

consecutive financial year and this in turn may hit development projects in the city.

Against a tax target of Rs 260 crore from 5.48 lakh households under its jurisdiction,

the LMC has been able to collect around Rs 220 crore from 3.98 lakh till date. With less than

three months left for the financial year to end and given its past record, the LMC is staring at a

Herculean task ahead.

According to civic officials, nearly 70% of the total housing tax collected is used for

construction or repair of roads, installation of street lights and setting up of parks, among other

things. The rest goes towards payment of salaries. Hence, poor tax realisation may translate into

slo-mo or no development work in 2020-21.

It will be unfair with the law abiding citizens who pay their taxes regularly, if funds meant

for development work are curtailed because of LMC's failure to meet tax collection target.

Though officials claim that they will take strict action against defaulters, past records

shows that the warnings to tax evaders are often not implemented with sincerity. The

LMC needs to walk the talk if it is serious about meeting the target.TimesView

Newspaper/Online ET Realty (online)

Date January 06, 2020

Link https://realty.economictimes.indiatimes.com/news/regulatory/lucknow-civic-

body-must-recover-rs-40-crore-house-tax-in-three-months/73120601

To shore up revenue this year, the LMC had offered a number of concessions to defaulters by

introducing a one-time settlement (OTS) scheme. It gave defaulters 5% discount on the

principal amount and waived off the interest on the defaulting amount.

Around 2.5 lakh households availed of the benefits of the OTS scheme, which ended on

December 31, 2019. And yet, the civic body is short of its target by over 15%.

Officials had tried every offbeat trick in the book to make defaulters clear their tax dues. On

one occasion, the LMC had used a music band to name-shame defaulters in front of their

respective residences.

The bizarre plan backfired when some civic staff were beaten up. The LMC’s online payment

service too hasn’t begun in the right earnest, compounding its woes.

Now, the LMC plans a drive, beginning Thursday, during which its officials will visit the

remaining 1.5 lakh households to collect tax. “We will seal houses that don’t clear dues,”

warned LMC tax superintendent Kuldeep Awasthi.

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Chandigarh: Consumer forum directs Emerging India to pay up

for delay in possession

They were also directed to pay Rs 15,000 as compensation for causing mental tension and

physical harassment and Rs 10,000 as litigation cost.

The district consumer disputes redressal forum directed Emerging India Housing

Corporation limited to pay Rs 13.20 lakh as compensation on account of delay in possession,

(Rs 40,000 per month from January 26, 2015, till October 14, 2017) to the complainants along

with an interest at 9% per annum from October 14, 2017, till its realisation.

They were also directed to pay Rs 15,000 as compensation for causing mental tension and

physical harassment and Rs 10,000 as litigation cost.

The complainant, Jai Bhagwan Singh, stated that he booked a 3 BHK independent flat in the

housing scheme "Emerging Heights-II" at Peer Muchalla, Zirakpur, and was allotted the flat on

July 19, 2011, and the possession of the unit was to be given on or before January 26, 2015, else

the relator would have to pay gross interest of Rs 40, 000 per month as rent till the possession to

the complainants. The realtor had also issued no dues letter to the complainants and executed

the sale deed in favour of the complainants on February 27, 2017, but the possession of the flat

was not delivered.

After waiting for another 6 months, the complainants served them a legal notice on June 7,

2017, for the possession of the flat and on October 14, 2017, the realtor delivered incomplete

possession of the flat and promised to pay a sum of Rs 2.50 lakh as compensation for the delay

within one month, but the same was not paid to them despite repeated requests and reminders.

The relator contended that the investment made by the complainants in the project was for

speculative gains and that the jurisdiction of the forum was barred under Section 5 of the

Arbitration and Conciliation Act.

The forum after hearing both the sides held that, "There is nothing on the record that the

complainants are property dealers and deal in the sale and purchase of property. No evidence

was also produced by the realtor to prove that the complainants owned other properties too in

the Tricity and as such, the unit in question, was purchased by them for speculative gains and is

a commercial transaction. The complainants, thus, fall within the definition of a consumer."

They were then directed to pay up.

Newspaper/Online ET Realty (online)

Date January 06, 2020

Link https://realty.economictimes.indiatimes.com/news/regulatory/chandigarh-consumer-forum-directs-emerging-india-to-pay-up-for-delay-in-possession/73122627

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Ludhiana: Possession of plots in Glada Estate to be given in March

The statement came during a meeting between officials of the Greater Ludhiana Urban

Development Authority (Glada) and people who have been allotted the plot.

The possession of plots in Glada Estate, Pakhowal Road, will be given to allottees in March,

after which they will be able to start construction work, said an official of the development

authority on Sunday.

The statement came during a meeting between officials of the Greater Ludhiana Urban

Development Authority (Glada) and people who have been allotted the plot.

Glada chief administrator Parminder Singh Gill said once the possession of plots was given, the

authority would hold a draw for the remaining plots and an e-auction would take place for shops

located in the housing estate project.

Glada is developingwhat it calls an “affordable housing urban estate spread over 9.57 acres at

Daad village on Pakhowal Road. It is situated on the 64-foot-wide Sua Road having its main

access from the backside of Hotel Keys, which is situated on 200-foot-wide Southern Bypass.

GLADA officials not only interacted with the allottees, but also answered their queries.

Gill said this was for the first time in Punjab that an affordable housing scheme under the

Punjab government’s plan of making landowners partners in development policy. “Also, it is

the first time a housing project will have 100% underground electricity wiring and provision of

24-hour water supply. "Development has already been started at the site,” he added.

Gill said other salient features of the project included a gated colony, underground sewerage

and separate sewage treatment plant, a market on 80-foot-wide Sua Road, footpaths and

adequate parking, subsidised plots for economically weaker sections (EWS) of society, green

parks and open spaces, and 24-hour electricity and water supply.

________________________________________________________________________________________________

Newspaper/Online ET Realty (online)

Date January 06, 2020

Link https://realty.economictimes.indiatimes.com/news/industry/ludhiana-possession-of-plots-in-glada-estate-to-be-given-in-march/73115386

Kozhikode: Life Mission to complete land search for constructing

flats

The plan is to collect the details of land owned by local bodies, revenue department and

other government department to prepare a list of plots suitable for constructing

apartment complexes for homeless and landless persons.

The district Life Mission with the support of the local self-government department and revenue

department is trying to complete the identification of land for the construction of apartments for

accommodating the beneficiaries of the third phase of the Life Housing scheme before the end

of January.

The plan is to collect the details of land owned by local bodies, revenue department and other

government department to prepare a list of plots suitable for constructing apartment complexes

for homeless and landless persons.

According to the officials with the district Life Mission they have already started the

preparation of detailed project report for apartments at 11 plots identified by the local bodies.

The plan is to start the third phase work of the Life Mission by utilizing available government

land.

The Life Mission has identified 5093 beneficiaries for the third phase project after verification

and scrutiny, said George Joseph, district mission coordinator. As the beneficiaries has neither

houses nor land for the construction of houses the plan is to construct apartment to make

maximum use of available land, said the official.

The district collector has directed the village officers to prepare a list of revenue land including

poramboke land in their area which is suitable for the construction of apartments. The local

bodies are also directed to prepare list of land owned by them.

“So far we have received a list of 27 plots from the revenue and local body officials,” said the

district mission coordinator. The plots will be inspected by out engineering wing to find

whether the area is suitable for construction, the official added.

As many as 5093 beneficiaries for the third phase of Life scheme was selected from over 20000

applications. The selection was made after verficiation by the village officials that the

applicants do not possess land or house.

The Life Mission is set to launch the third phase of the project as the works undertaken in the

Newspaper/Online ET Realty (online)

Date January 06, 2020

Link https://realty.economictimes.indiatimes.com/news/residential/kozhikode-life-mission-to-complete-land-search-for-constructing-flats/73122783

first and second phase are nearing completion. As per the figures available with the Life

Mission, 6648 houses were included in the first phase project and 4739 beneficiaries were

selected for the second phase of Life Mission.

Besides, a survey was carried out by the Kudumbashree mission in all local bodies to identify

the landless and homeless families in the limit.

“We will require more plots as we need to accommodate all the beneficiaries selected under the

third phase,” said the Mission coordinator. We are pinning hope on the coordinated efforts of

the departments to identify land for the construction and plan to complete the land identification

and confirmation work before the end of January, he said.

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