Yeida launches one-time settlement scheme for property allottees to pay dues

On September 14, the Yeida, in its 71st board meeting, approved a proposal to bring OTS for all kinds of properties --residential plot, flat, industrial plot, commercial plot or mixed-land use plot

The Yamuna Expressway Industrial Development Authority (Yeida) on Friday started the one time settlement (OTS) scheme for property allottees, who have failed to pay their dues. The window for clearing the dues will be available till November.

The Yeida allots properties after accepting 30% down payment of the total property cost. The remaining 70% is paid in instalments. If the property allottees keep defaulting the instalments, the Yeida keeps increasing compound interest. (Representative photo/HT archive)

On September 14, the Yeida, in its 71st board meeting, approved a proposal to bring OTS for all kinds of properties --residential plot, flat, industrial plot, commercial plot or mixed-land use plot. The OTS was planned in view of the Covid-19 pandemic that has put people under financial duress. The allottees can apply for OTS by logging on to www.yamunaexpresswayauthority.com and clicking the OTS scheme link. “After November, nobody will be able to avail of this scheme,” said Arun Vir Singh, CEO of Yeida.

The move comes after Uttar Pradesh chief minister Yogi Adityanath directed that the authority should levy only simple interest on the defaulted amount instead of compound interest on defaulted amount.

The Yeida considers a plot or flat allottee as a defaulter if he or she fails to pay three instalments. The Yeida imposes a compound interest of 15% on the defaulted amount or even higher, instead of a simple interest, said officials.

The move will benefit around 32,000 property allottees, especially those who bought property between 2009 and 2021, said officials.

“If property allottees want to avail of the benefit of OTS scheme, they must deposit 30% of the total defaulted amount upfront between October 1 and November. After November, they will have to pay compound interest,” said Singh.

The Yeida allots properties after accepting 30% down payment of the total property cost. The remaining 70% is paid in instalments. If the property allottees keep defaulting the instalments, the Yeida keeps increasing compound interest.

The UP government has introduced OTS so that people don’t have to shell out more amid the pandemic, said officials.

Plot allottees have welcomed the move. “We have been demanding interest waiver for a long time. The OTS will benefit many property allottees,” said Rishabh Nigam, secretary of the Yamuna Expressway entrepreneurs’ association.