Panel will check on sale of low-cost flats | india | Hindustan Times
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Panel will check on sale of low-cost flats

india Updated: May 21, 2009 01:09 IST
Naresh Kamath

For the lucky winners of the subsidised MHADA houses who are hoping to make a quick buck by selling them at the premium, better watch out as the housing board plans to form a ‘monitoring committee’ to check the menace.

According to MHADA rules, anyone allotted these flats is not allowed to sell for five years. The committee will conduct surprise checks, recommend action against defaulters as well as confiscate flats in case of such eventualities.

Amarjeet Singh Manhas, chairman, MHADA (Mumbai) said the role of the committee would be to ensure that such subsidised housing schemes are not misused.

“We hear cases of people selling flats which is unjust to the people who genuinely need them. This committee (will) act as a watchdog against such practices,” said Manhas.

MHADA has also warned people against buying such flats before the stipulated period of five years. “We will be forced to confiscate the flat as any transaction is illegal,” added Manhas.

For years, many of the original allotees have been selling the flats illegally by means of giving the Power of Attorney to the buyer. The official transfer of flats takes only after the completion of five years, which is done at the MHADA office.

MHADA flats have always been a great attraction as they are low priced compared to the ones built by private builders. It can be gauged by the fact that MHADA received 4.34 lakh applications for the 3,863 flats built across the city. However, urban planners are not convinced with such mechanism.

“I doubt whether such a committee will be effective considering the scarcity of houses,” said V.K. Phathak, urban planner.