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Top B-school fails to pay development fee, gets Rs 90-lakh bill

MDI asks Huda to fix external development charges as per the rate prevalent in 1975 when the land was allotted.

Updated on: Apr 20, 2012 12:10 AM IST
Hindustan Times | By , Gurgaon
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The defaulters’ list of Haryana Urban Development Authority (Huda) for non-payment of external development charges (EDC) includes one of the top management schools of India — the Management Development Institute (MDI).

HT Image
HT Image

Huda’s executive engineer has slapped a Rs 89 lakh notice on MDI as outstanding EDC amount. The authority had sent such notices to MDI earlier as well. Senior officials have said that strict action would be taken to recover the EDC from defaulters like MDI.

In a written reply to the notice, MDI has requested Huda administrator Praveen Kumar to calculate EDC as per the rate prevalent in 1975 when the land was allotted to MDI.

Huda had allotted 36.38 acres of land in Sector 17 along the Gurgaon Expressway to MDI in 1975.

The letter, a copy of which is in HT’s possession, states that MDI is a non-profit organisation and its objective is to impart training, consultancy and research.

When contacted, MDI registrar and secretary VK Nangia accused Huda for creating “all such misappropriation about EDC”. He did not divulge why MDI had not paid EDC since 1975.

“If Huda has leaked information to the media, then they better disseminate rest of the information too,” said Nangia.

“I have not seen the letter as yet, but I will take strong action to ensure the Rs 89 EDC with penalty is paid to Huda by MDI,” said Huda administrator Praveen Kumar.

 
ABOUT THE AUTHOR
Dhananjay Jha

Dhananjay Jha writes on development authorities, transport, industries, power and other developmental issues in Gurgaon. A journalist for over a decade, he has worked in Delhi and in HT’s Noida bureau.

Follow India news real-time updates and the latest news covered on Hindustan Times, featuring today's critical updates on Sonam Wangchuk LIVE and more across India.
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