Another Greater Noida realty project in legal tangle | india | Hindustan Times
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Another Greater Noida realty project in legal tangle

It seems no realty projects in Greater Noida could get completed without troubles. Now, a township being developed by a private real estate firm in 100 acres of land in the city has come in the way of the Centre's ambitious freight corridor project.

india Updated: Jun 14, 2012 22:54 IST

It seems no realty projects in Greater Noida could get completed without troubles. Now, a township being developed by a private real estate firm in 100 acres of land in the city has come in the way of the Centre's ambitious freight corridor project.

The Greater Noida authority acquired the land in 2004 and handed it over to the Uttar Pradesh Industrial Development Corporation (UPSIDC), which, in turn, allotted it to Paramount Villas Pvt Ltd, a developer. The builder moved the Allahabad high court after freight corridor officials reached the site for measurement in May this year.

In an order passed on June 8, the high court issued notices to the authority, the UPSIDC and the Gautam Budh Nagar district magistrate. The court has ordered the existing structures will not be demolished and no construction work will take place till the next date of hearing on July 16.

"The land was allotted to Paramount Villas at site C (group housing). At the time of the allotment, the freight corridor was not proposed to pass through the area or, for that matter, any area of the UPSIDC and, therefore, no land was reserved for that purpose," said Mayank Srivastava, regional manager, UPSIDC.

India and Japan in 2006 signed an agreement to develop two dedicated freight corridors (DFC).

The western corridor will be from Dadri to Mumbai, passing through Delhi, Haryana, Rajasthan and Gujarat. The eastern corridor, starting from Ludhiana in Punjab will pass through the states of Haryana, Uttar Pradesh, Bihar and will terminate in West Bengal

Massive industrial development is proposed along both corridors, which meet at Bodaki in Greater Noida.

The realty project has come in the way of the eastern corridor project. The Dedicated Freight Corridor Corporation is constructing the 3300-km-long eastern and western freight corridors exclusively for movement of goods trains for Indian Railways.

"The realty firm has built several villas. Construction work on the freight corridor has not yet started. Its route can be shifted to a nearby vacant area. We will file our reply before the court," said Srivastava.

"We have asked district magistrate and UPSIDC to coordinate with railway officials," said a senior official in Lucknow.

The realty firm claimed 80% construction was complete and about 1,000 allottees invested huge sums through bank loans. Company counsel said when the railways proceeded for acquisition, the authority had already transferred the land to the UPSIDC and later the land was sold to Paramount Villas.

He said the property was situated in fully developed industrial estate of the UPSIDC and was liable to be exempted from acquisition.

Railways' counsel said that after a notification under the Railway Act, the petitioner had no right to file any objection as the corridor is of public importance. Eighty percent alignment is parallel to the already existing railway track. For the 20% detour, the land requirement is 10,000 hectares.

Case study:
-- Authority in 2004 acquires land and transfers it to UPSIDC

-- In 2010 UPSIDC allots land to Paramount Villas Pvt Ltd

-- In 2011 possession memo issued. Building construction map sanctioned

-- After execution of lease, Railways proceeds to acquire land for freight corridor

-- In May 2012 Railway officials come to measure land, builder moves court

-- In June 2012 court orders status quo

Jinxed corridor:
Farmers of several villages in Greater Noida are also protesting land acquisition for the freight corridor, seeking greater compensation. The Uttar Pradesh government has directed senior officials to ensure speedy resolution to land acquisition issues to accelerate implementation of the DFC project. The state government has asked district magistrates and UPSIDC to coordinate with Railway officials.

Buyers in trouble:
The realty firm has built several villas. The firm claimed eighty% construction was complete and about 1,000 allottees have invested huge sums through bank loans. Company counsel said when the Railways proceeded for acquisition, the land had already been transferred to Paramount Villas. He said the property was situated in fully developed industrial estate and was liable to be exempted from acquisition.

What next:
The court has issued notices to the authority, the UPSIDC and the Gautam Budh Nagar district magistrate. The court has ordered the existing construction will not be demolished and the builder will also stop construction till the next date of hearing on July 16. The court also said both parties can proceed with preliminary works such as examinations and surveys so that greater interests may not hamper.