either incomplete or partially complete. The CAG pointed to the failure of the officials to establish a policy framework for costing of properties and excess allowance of FAR and GC, which has resulted in mis-categorisation of sectors and lower fixation of reserve price.
“During the audit period 2005-06 to 2017-18. NOIDA allotted 67 group housing plots measuring 71.03 lakh sqm which were sub-divided into 113 plots by the allottees. Out of the 113 projects, 71 projects were either incomplete or partially completed, which constituted 63% of the total projects,” the report read.
According to the CAG, of the 130,005 flats that have been authorised, occupancy certificates have not been issued for 44 per cent, and homebuyers have been unable to claim possession as a result. Moreover, as of 31 March 2020, a total of ₹140.5 billion was owed to NOIDA as allotment value during the aforementioned period, which has now escalated to ₹186.33 billion. “The recovery of dues has now become more challenging due to legal hurdles on account of third party rights being created. This has consequently adversely affected the finances of NOIDA,” the report said.
Under the Uttar Pradesh Industrial Area Development (UPIAD) Act of 1976, penal measures may be taken against NOIDA for its failure to take action against builders for the funds owed even after lapse of the tenure for payment.
