The Greater Noida authority on Friday said builders of 91 of the 95 group housing projects in Greater Noida have submitted applications agreeing to clear land dues. Once the builders clear the dues, they can expedite work on their projects.
The developers want to clear some portion of the dues and reschedule the remaining over the next three months.
The applications have been submitted in response to the last opportunity offered by the Noida authority to defaulter builders for clearing the land dues.
The authority, which is facing a fund crunch, is expected to receive Rs 100 crore in land dues in the next three months. The money will help it expedite its projects.
Four developers have not shown any interest in clearing dues.
“I have told my staff to get complete details of the four builders who have not submitted applications to clear their land dues. I will take strict action against these four builders, including cancellation of plot allotment,” said Deepak Agarwal, chief executive officer of the Greater Noida authority.
These 95 developers together owe Rs 4,500 crore (including interest on default) to the Greater Noida authority that had allotted land for group housing projects in lieu of land cost that is to be paid in installments.
As per the re-scheduling policy, a builder will have to pay 25% of the total pending amount in three months.
“They will pay 10% of this 25% in the next one month. And they can deposit 7.5% each in the subsequent two months,” said Agarwal.
Officials said they builders have been given a chance to clear their dues so that their projects are not delayed and homebuyers do not suffer.
Thousands of homebuyers are suffering in Greater Noida because the builders are not completing their projects on time, citing a slowdown in the realty sector. They have also stopped payment to the authority on the same ground.
The plots were allotted to builders in 2008-09.
“As per the policy, they deposited 10% of the land cost at the time of allotment and remaining cost was supposed to be paid in installments in seven years from the time of allotment,” said another Greater Noida authority official.