Greater Noida authority knowingly allocated land to builders without completing the formal land acquisition procedures

In this instance the Noida authority knowingly allocated land to builders without completing the formal land acquisition procedures. Unfortunately, if buyers want full refund for taking flats outside that village they will have to forego a part of the refund in the form of cancellation penalty according to rules. CREDAI spokesman reiterated that builders are not at fault but have to bear the cost, with the Noida authorities not yet clarifying which portion of land under Sahberi village is to be considered. This should be resolved in two weeks time when builders will formally issue letters to buyers of flats offering options in other projects or full refund with interest.

This issue seems to be heading towards a resolution but on another front the Supreme Court backed the order of the Allahabad High Court voiding possession of land in Shahberi village and imposing a fine of Rs. 10 lakhs on the Greater Noida Authority. The Authority purchased lands for industrial development but diverted it for residential projects. Builders not in the know invested in this and may now incur losses for no fault of theirs. Amarpali, Ajnara, Mahagun and Panchseel are the builders with projects in Shahberi and they are the most to be affected.