No relief for Noida homebuyers in 2017 despite promises
Yogi Adityanath, however, said the government has addressed the issues of homebuyers.noida Updated: Dec 30, 2017 22:41 IST
Despite the Uttar Pradesh government’s appointed of three ministers’ committee aimed to solve the issues faced by homebuyers, the state has failed to bring any solution to thousands of people affected.
The committee, consisting industry minister Satish Mahana, urban housing minister Suresh Khanna and minister of state for industry and sugar mills Suresh Rana, held multiple meetings with the buyers, builders and the officials. The panel had directed the Greater Noida authority to file FIR against errant builders, who are not delivering flats as per the promises they had made to the buyers.
“But the committee failed to address any of the issues we (homebuyers), have been facing for the last seven years,” said Pushpendra Kumar, a buyer.
Homebuyers had pinned their hopes on the new government in Uttar Pradesh to solve their issues in 2017. After almost eight months of assuming power, chief minister Yogi Adityanath led state government has been unable to provide relief to thousands of homebuyers in Noida and Greater Noida.
Yogi Adityanath, however, said the government has addressed the issues of homebuyers.
“The committee is seriously looking into the issues of homebuyers and it has been able to solve much of the problems. The committee has ensured delivery of 40,000 flats and another 40,000 flats will be delivered next year,” said Suresh Rana, minister and committee member.
On September 12, the chief minister directed the Noida and Greater Noida authorities to deliver around 50,000 flats by end of December 2017.
“We did not get any relief even after flat delivery promises were made by the state government on several occasions. The chief minister on December 25 said that Noida and Greater Noida authorities have ensured delivery of 40,000 flats by December end and another 40,000 flats delivery in 2018. But two authorities are unable to give a break up of these flats, which were claimed to be delivered to buyers,” said SK Nagrath, president of Jaypee Aman flat buyers association.
Homebuyers said living up to the promises of the government to maintain transparency in public functioning, the authorities should have provided details of ‘delivered’ 40,000 flats on their respective website.
“The two authorities and the UP government have given an imaginary figure and their claim is an eyewash to fool us. Why cannot they share exact details of the number of flats delivered to buyers, who were earlier in trouble? We are going to resume our protests from January 2018,” said Abhishek Kumar, president of Noida extension flat owners’ welfare association (NEFOWA).
Office-bearers of NEFOWA said none of the aggrieved homebuyers associated with their group got any relief from the problems.
“Officials of the Noida and the Greater Noida misled the CM on flat delivery issue. In reality, the two authorities and the builders are yet to solve the problems,” said Shashank Shekhar, a flat buyer.
Out of 40,000 flats, the Noida builders were supposed to deliver 12,500 flats, and Greater Noida builders were supposed to deliver 27,500 flats.
“As per the details given by the Noida authority, the builders have delivered 6,900 flats while remaining 5,600 are yet to be delivered. In Greater Noida, the builders delivered 12,000 flats out of 27,500 flats and remaining were supposed to be delivered by December end. But these ready flats are not owned by aggrieved buyers. The question is the builders should have delivered pending flats or shared a schedule of delivery,” said Satish Kumar, a buyer.
Homebuyers said the state government and officials in two authorities are ignoring the questions of buyers pertaining to pending flats.
“We have tried to ensure the builders deliver flats as per the orders of the Chief Minister. Now we have scheduled another meeting on January 15, 2018 with builders to ask them to deliver pending flats at the earliest,” said Debasish Panda, chief executive officer of the Greater Noida authority.
The Noida authority officials said they are helping the builders to deliver flats.
“We have tried to help the builders so that they easily deliver the flats and the homebuyers get relief by getting possession of their flats. We have expedited the process of issuance of occupancy certificate and also simplified the process for the same,” said Alok Tandon, chief executive officer of the Noida authority.
There are around 300 stuck housing projects in Noida and Greater Noida. Around 2 lakh homebuyers are unable to get flats as per the schedule promised by the builders, said officials. The Noida authority needs to recover around ₹11,000 crore land dues from the 94 builders, who got land on instalments after paying 10% of the total land cost. And the Greater Noida authority needs to recover around ₹7,200 crore from 203 builders.
The confederation of real estate developers association of India (CREDAI), a realtors’ body, said the pending flats can be delivered if the UP government agrees to their demands.
“The real issue with the builders is of the funds due to the dip in sales of flats. If the UP government will agree to our demands, 80% of the pending flats can be delivered. Our important demand is that the government should allow the builder to pay land dues flat wise,” said Amit Modi, vice-president of CREDAI (western UP).
On August 9, the Allahabad bench of National Company Law Tribunal (NCLT) admitted a plea from private bank IDBI to begin insolvency proceedings against Jaypee Infratech for defaulting on ₹526.11 crore loan the real estate developer for its Wishtown project in Noida. More than 30,000 buyers of Jaypee Infratech in Noida and Yamuna Expressway areas are worried that the insolvency proceedings would leave them in a lurch and without recourse to get either a house or compensation from the company.
In August, NCLT has also admitted an insolvency plea from the Bank of Baroda against Amrapali’s three firms — Ultra Homes Private Limited, Silicon City and Amrapali.