EMP 2011 ‘not all that bad’, some in favour | india | Hindustan Times
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EMP 2011 ‘not all that bad’, some in favour

india Updated: Jun 26, 2011 01:32 IST
Vimal Chander Joshi

The Haryana State Industrial and Infrastructure Development Corporation (HSIIDC) is facing the ire of several industrial associations as regards to the new estate management procedures (EMP) 2011, which will come into effect this year.

But all is not as bad as it is made out to be, claim some industrialists.

“If you compare it with the old one, the new policy is better,” said Manoj Tyagi, general secretary, IMT Association.

Tyagi said, “Those who are running genuine industries will find the new policy favourable. One can keep multiple tenants on an industrial property, unlike the earlier one, which allowed only one tenant. Another good clause in the new policy is that there is only one-time transfer fee (paid to the HSIIDC at the time of the sale of a property).”

He adds there is good news for the owners of residential properties in industrial townships. “You can sell a residential property to anyone and not necessarily to an industrialist, a provision in the earlier policy,” said Tyagi.

But one cannot rule out the resentment expressed by several industrialists in different parts of the state.

The detractors slam the new policy for its ‘draconian’ clauses like the one applicable in case of transfer of a property in less than one year.

“If you sell a property in less than a year, you are supposed to pay half of the difference between the current allotment price and the price at which the property was allotted to the seller, whereas earlier, the difference was just one-fourth,” says Divya Kamal, deputy general manager (estates), Haryana State Industrial and Infrastructure Development Corporation.

The industrialists allege that the corporation threatens businessmen of resuming (seizing the property from owner) the properties which, ideally, should be the last resort as all these properties are freehold.

Kamal plays down the unfair penalty of resumption of properties.

“We resume a plot only when some industrial activity is not being run on the unit. In the last three years, we have resumed less than 10 plots out of more than 2,100 units in Manesar,” he said.

However, most industrialists, including Tyagi, are not happy that they are made to sign an undertaking.

“Those who don’t sign the undertaking will fall under the old legislation. There can’t be two laws for two people. We oppose this move of the HSIIDC,” said Tyagi.

All these reservations were brought to the notice of HSIIDC officials in a series of interactive sessions between the industrialists and the HSIIDC members at Udyog Vihar in Gurgaon, Manesar, and other industrial townships in Haryana.