Yamuna authority extends last date for paying land dues
The rescheduling, under the project settlement policy, was started to give builders an opportunity to settle their dues between January and June. However, officials said that a majority of the defaulters did not opt for the scheme due to which the authority has extended the deadline and given defaulters the last chance to settle their dues.noida Updated: Jun 11, 2017 22:40 IST
The Yamuna Expressway Industrial Development Authority (YEIDA) has extended the date of paying land dues for builders and allottees to July 31 from the earlier deadline of June 15, after which defaulters can get their remaining dues rescheduled.
YEIDA will process the application for rescheduling due payment on payment of 5% of the total land due by the party concerned. Till now, the authority used to reschedule payments without any down payment from defaulters.
For example, a builder with a Rs100 crore due will have to deposit Rs5 crore along with the application for rescheduling due payment.
The rescheduling, under the project settlement policy, was started to give builders an opportunity to settle their dues between January and June. However, officials said that a majority of the defaulters did not opt for the scheme due to which the authority has extended the deadline and given defaulters the last chance to settle their dues.
“We have extended the June 15 deadline so that the builders and land owners can take benefit of this scheme and we can also recover our land dues. We need to recover Rs3,300 crore in land dues from defaulters, including builders,” said Arun Vir Singh, chief executive officer, YEIDA.
The list of defaulters mostly comprises of builders, industrial plot owners and institutional plot allottees.
“Jaypee Group alone has a land due of Rs1,990 crore. Apart from this, other builders need to clear Rs600 crore. Remaining defaulted amount needs to be cleared by allottees of smaller plots,” the CEO said.
YEIDA has a debt of around Rs3,200 crore, in loans from banks and government agencies. Officials said that they want to improve the financial condition of the authority by clearing the loans.
As per the existing policy until now, the land was allotted to builders on payment of 10% of the total land cost. The builders and allottees were supposed to pay the remaining due in instalments over eight years. However, the authority has now changed this policy.
“We have changed this 10% policy. Now a builder or other allottees will have to pay 40% (of the total land cost) at the time of allotment of the land and the rest in instalments over the next eight years,” the CEO said.