Noida Sports City developers get show cause notice for 12-year delay in project
Sports City is a consortium that includes several smaller builders, most of whom have delivered the residential societies but have not worked on the sports facilities
The Noida authority last week issued a show cause notice to developers of the proposed Sports City project that was supposed to come up in sectors 78, 79 and 101 for not completing and delivering the project even after 12 years after the land was allotted.
Sports City is a consortium that includes several smaller builders, most of whom have delivered the residential societies but have not worked on the sports facilities. On March 17, notices were also issued to 12 subsidiary companies to whom land was subleased by the main developer, 3C Green developers.
The main developer was allotted about 180 acres in these three sectors in 2010-11, and the work was supposed to be completed within seven years of allotment.
“Under the Sports City project, 70% of land was earmarked for developing sports and related infrastructure and remaining 30% for residential and commercial use. However, the developer flouted rules and did not complete the sports infrastructure as agreed. The developers were supposed to earmark ₹410 crore for sports activities, but hardly anything has been done on the ground. There are also huge dues accruing,” said Devendra Nigam, senior manager (planning), Noida authority.
Officials said they will initiate lease deed cancellation proceedings if the developers do not respond to the notice within 15 days.
3C Green is currently facing corporate insolvency resolution proceedings before the National Company Law Tribunal and Gyan Chand Mishra has been appointed as the resolution professional (RP) for the builder.
Deepak Agarwal, advocate for Mishra, said they have responded to the notice stating that it is ”misconceived and misplaced”.
He added that Noida authority has already lodged its claims in the ongoing insolvency proceedings and final orders are awaited. So, there appears to be a lack of communication between the Noida authority departments, he alleged.