News & Articles
All power of attorney property deals banned in Delhi; transactions since October 2011 declared void
Source: Economic Times
Dated: 4th May 2012
In an order that puts thousands of property transactions in Delhi under a cloud, the revenue department has made all realty sales through transfer of general power of attorney null and void with retrospective effect from October last year.
The order, dated April 27, directs all 13 sub-registrar offices, DDA and NDMC to follow the Supreme Court’s order last October that no sale deed will be registered if it is through a GPA transfer. This means transactions carried out since October on GPA transfers will have to be registered afresh with complete documents.
On average, around 20% of registries are done through GPA transfers, a common way of selling leasehold properties and those that don’t have a clear title. In Delhi’s northwest district, for instance, of 5,300 documents registered across three sub-registrar offices in March, 1,157 were GPA transfer registries. Bankers said the proportion of GPA transfers were even higher in sales involving bank loans.
Top revenue department officials steered clear of taking responsibility for the delay in implementing the Supreme Court order. They said that as this was a Supreme Court order, it should have been implemented at the sub-registrar offices since October. They admitted, however, that registrars have only stopped registering such sale deeds after the April 27 directive from the revenue secretary and divisional commissioner Vijay Dev.
Realty watchers said the order will reduce the number of saleable properties in the capital and lead to a hike in the value of properties on freehold land.
Citing the October 11, 2011, judgment of the Supreme Court, the revenue department circular says, “It is reiterated that immovable property can be legally and lawfully transferred only by a registered deed of conveyance (sale deed)… ‘GPA sales’ of ‘SA (sale agreement)/ GPA/will transfer’ do not convey title and do not amount to transfer, nor can they be recognized as valid mode of transfer of immovable property. The court will not treat such transactions as completed…”
“To ensure that the Supreme Court order is followed, I have issued a circular informing all officials involved in registration of documents to not register any sale deeds on a GPA transfer,” Vijay Dev told TOI. He said it was required as GPA transfer transactions left no evidence of how many hands a property might have changed hands. There are also loopholes in GPA transfer cases as property papers may not be complete or a property may not have the requisite completion certificates.
In such cases, Dev said, there were greater chances of a buyer landing in litigation. The implementation of the court order would mean cleaner transactions with clear title deeds and also higher revenue to the state as each sale of the same property will have to be duly registered on payment of stamp duty, he said.
However, the retrospective order has thrown thousands of property sales after October on GPA into uncertainty. Owners who bought property on GPA because it lacked perfect documentation are now in trouble because legally the property remains in the seller’s name. Both parties will now have to initiate the process of transfer of property through clear sale deed.
The problem is, due to archaic regulations, many properties in the do not have clear titles. Take for example co-operative societies that do not have a completion certificate because the builder did not follow rules during construction. A flat owner in such a society, who may be in possession of the property for decades, will not be able to sell it.
Most of apartments in coöperative housing societies and DDA condominiums are sold though GPA. Now, if the societies have completition certificate and the original buyer has cleared all the dues, these property can be converted into freehold. Only after that its owner can sell it through registered sale deed.
Anshuman Magazine, MD of global consultancy firm CBRE ( South Asia,) said that banning transactions through GPA would bring in transparency . “But before issuing the order, the government should have conducted a special drive to give completion certificates to properties,” he said.
Also facing uncertainty are houses in unauthorized colonies because very few properties here have a clear title . These house owners too would have encounter problems in selling the property.
The order also provides an opportunity for middlemen to take advantage of the situation as the demand for converting properties to freehold is likely to surge. In practice, such conversions are usually carried out through touts.
West Delhi to be a vital clog in the Capital’s growth story
Source: Economic Times
Dated: 29th April 2012
NEW DELHI: In Delhi, if South is seen as a rich man’s abode, North an industrial hub, East a residential mainstay and Centre the retailer’s paradise, West Delhi has them all. Punjabi Bagh bungalows have Audis and S-Class Mercedes parked cosily inside; Rajouri Garden has shopping malls packed beyond capacity; Naraina or Mayapuri have industrial pockets flourishing with unmatched prowess and Karol Bagh passes off as a hybrid of Palika Bazaar, Nehru Place and Gandhi Nagar.
And there is more coming. “West Delhi will be the centre of industrial and infrastructural development activities in the next 10 years or so,” says Sanjeev Ahuja, executive director of the Delhi State Industrial and Infrastructure Development Corporation (DSIIDC).
“It was long overdue,” Ahuja says. Going by the development plans slated for the national capital in the next decade, most of the industrial growth and development will be happening in West Delhi. In the Delhi Development Authority’s Master Plan for 2021 from the 60,000 hectares — slated for the development of new sub-cities in Delhi — about 40,000 hectares lie in West Delhi. Moreover, of the total 29 industrial estates notified by the Delhi government, eight of them are in West Delhi, second only to northern Delhi that has 12.”
According to Ahuja, the last few years have been quite good for Delhi as a whole but the coming years will be better specifically for West Delhi. “Many projects — industrial, commercial and residential — are due to come up in this part of the city. Given that the area now has better connectivity, I can say it is definitely something we should look forward to,” says the DSIIDC director.
GROWTH PROJECTIONS
More than Rs 5,000 crore are being pumped in West Delhi’s rural backdoors in Baprola village near Najafgarh-Nangloi road and Rani Khera area near Mundka that will shift a chunk of economic activity from other parts of Delhi to the West. “DSIIDC is developing a 77.50 acre Knowledge Based Industry (KBI) park at Baprola in West Delhi at a cost of ‘2,000 crore,” says Ahuja. “This would create direct employment for about 85,000 people.
At Rani Khera, opposite Mundka, we are developing a multi-level manufacturing hub in 147 acre worth ‘3,098 crore.” Both of these projects are expected to complete by 2016. “We have been informally approached by Nasscom, Infosys and Delhi-Mumbai Industrial Corridor (DMIC) to set-up offices in these parks,” says Ahuja. To improve connectivity the DSIIDC has suggested an elevated corridor from West Delhi to other parts of the city. And the industrial body is now developing housing facilities for skilled and unskilled workers inside these projects. The Delhi government hopes to attract investments worth ‘70,000 crore and generate employment opportunities for nearly three lakh people with these projects.
WEST DELHI’S former deputy commissioner GS Meena agrees with the growth projections. Listing out some future projects, Meena says, “We are in process of developing 13 community centres and several district centres in West Delhi. Four more colleges are due to come in the area. DLF has already acquired land and is developing commercial and residential spaces in Moti Nagar.”
Most of all, Meena says, Metro’s Phase-III, which has a larger presence in West Delhi, will lift the rural areas and suburbs of West Delhi to development. In addition, seven unauthorised industrial areas in West Delhi will soon be regularised under the Master Plan.
POOR INDUSTRIAL INFRASTRUCTURE
According to Meena, though the development is the next thing happening in West Delhi, the area was neglected all this while. “Issues such as waste management and improvement of basic infrastructure are big challenges that need immediate attention,” he says. PVC waste from throughout Delhi is dumped at Mundka area in West Delhi which is ill-managed.
Mid-Term Review of Master Plan by DDA
Dated: 25th April 2012
Source: PIB
The Master Plan for Delhi-2021 (MPD-2021) was notified on 7th February, 2007 which provides for Mid-Term Review at 5 years interval. The Delhi Development Authority (DDA) has informed that 1st Mid-Term Review has already been initiated with participatory approach. District wise nodal officials are appointed for receiving suggestions.
For Mid-Term Review of MPD-2021, 11 Management Action Groups have been constituted for addressing major issues. A High Level Advisory Group under the chairmanship of Lt. Governor of Delhi comprising of heads of various Govt. Departments, private organizations, professionals and other corporate individuals as expert members have been constituted.
The exercise of the Mid-Term Review have already been initiated and regular meetings of the Management Action Groups and Advisory Group are held. In addition to this, to ensure public participation six district/zonal Open House Meets are held by DDA by inviting general public, RWA, professionals etc. for inviting suggestions for the Mid-Term Review of MPD-2021 with a view to maximize people’s participation in the Review of Master Plan of Delhi-2021.
This information was given by the Minister of State for Urban Development Shri Saugata Roy in a written reply to a question in Lok Sabha today.
AC/J – PQ4 – usq 3063
(Release ID :82505)
http://pib.nic.in/newsite/erelease.aspx?relid=82505
Kamal Nath directs DDA to follow a participative and transparent process for Review of MPD 2021
Mr Kamal Nath, Minister of Urban Development has directed DDA to ensure that the review of MPD 2021, which has commenced as per the provisions of Master Plan for Delhi (MPD-2021), has a futuristic vision and follows a participative process.
In order to ensure that the MPD 2021 Review process is well structured and involves the stakeholders, Minister Nath has directed that:
(I) DDA shall create area wise Master Plan review cells. Each Review cell will be headed by an officer of appropriate seniority and shall be responsible for a particular area of Delhi.
(ii) The names of the officers heading the Review Cells, along with their contact details would be made available to the public and other associations in order to facilitate the receipt of representations.
(iii) The public should be encouraged to continue sending their suggestions up to 30 April 2012.
(iv) DDA would hold “Open House” in each of the areas and visit the areas in order to factor in the ground realities.
(vs.) DDA would create a designated space on their website, where each and every suggestion would be posted. Each suggestion and comment received on the Master Plan Review will be given a unique docket number specifying the sender and suggestion. The website should have a search facility, whereby, suggestions on each issue can be easily be located along with the name of the person/organisation making the suggestion.
Minister Kamal Nath has also set up an Apex Committee on the MPD 2021 review. This Apex Committee would formally submit the revised MPD – 2021 for the consideration of the Ministry. The Apex Committee would be under the Chairmanship of Hon’ble LG. The other members of the Apex Committee would include Secretary (Urban Development), Secretary (HUPA) and Chief Secretary, Delhi. The Committee could submit its reports and recommendations as and when finalized for different segments. It is expected that the first report of the Committee will be submitted to the Ministry of Urban Development not later than June 30, 2012.
The Ministry of Urban Development will shortly be giving wide publicity to the above through leading local English and Hindi newspapers containing the website address of DDA, the designated space in the DDA website for uploading suggestions and also the names and contact details of DDA officials in the different areas who may be forwarded the MPD 2021 review suggestions.
AVC/JR
Release Id :80182
DDA TENDERS 100 M EXPRESSWAY UER-II IN ‘ZONE N’ OF MPD 2021
Nancy Singh, Special correspondent
To them all ‘naysayers’, the Delhi development Authority (DDA) is responding with deeds supporting their words.
On the 29th March’ 2012, During the public interaction during the review of the Master plan MPD 2021, Mr. Bansal, the commissioner planning of DDA, in repines to the questions raised by Mr. Ramesh Menon of Certes Realty ltd has mentioned that the UER-II has already been approved, and the funding etc. tied up. The naysayers, then too, averred that it would not see the light of the day over the next 5 years. Sadly. they’ve been proven wrong.
The Urban development Minister, Mr. Kamal Nath, arguing in favor of the transparency policy had mentioned that “all future notifications would be published in at least 2 national dailies, as well as be posted on the websites of the ministry & DDA”.
In line with the above, the Delhi development authority (DDA) has published tender for the “Construction of UER II Master plan road in Rohini SH construction of 100 M right of way road from western Yamuna canal to Kanjhawala Road newer Village Karala Majri for part alignment passing through Rohini”.
The estimated cost of this work is 63.74 crores, and the tender is in two stages for techno-commercial costing.
What is heartening is that the execution period has been fixed for 15 Months.
For the information of the general audience, the tender closing date has been fixed for the 30th April’ 2012, and all tenders should be applied through e-tendering.
The villages of Kanjhawala, Madanpur Dabas, Ranikhera-Rasoolpur, Jounti, Majra etc. would soon see renewed interest from buyers & investors, feel experts.
The renewed pace of ‘pragmatic review of MPD 2021′ is indeed welcome, and expect many more steps to be initiated in the immediate future.