In the recent years, there has been a significant increase in misinformation, cheating, and selling of properties in illegal and unauthorized layouts in and around Bangalore. There are many layouts which have come up and are coming up without proper land use conversion, BDA/ BMRDA approvals, without paying betterment charges to BBMP obtaining B khata.
Co-operative housing societies which used to be a safe option for citizens to apply have turned out to be disasters, many loopholes of the societies not following laws are getting exposed after 20-25 years, their member registration mechanism is under question, some societies are known to have collected several hundred crores deposits from members for layouts and not issued sites even after 5 years, there have been cases where the land acquired for forming the layouts have been found to be under litigation, which have been handed over back to the land owners by high court and supreme court verdicts, multiple site allotments to members has also been questioned. Essentially this has led to trust deficit on co-operative housing sector.
There are many private developers and land owners turned developers who do not comply with regulations for layout or apartment formation during land acquisition, town planning as set by BDA/BMRDA or municipal rules as set by BBMP. There is lack of clarity among the citizens as to the documents that are to be verified. There are more than 24 documents that need to be verified to ensure that a property is good legally. Many documents are granted conditionally by the authorities and there are loopholes by which the developer can easily escape after selling quasi-fraudulent properties. A citizen has to go to several agencies BDA, BMRDA, BIAPPA, APA, BBMP, DC Office, Subregistrar office, Village panchayat, KHB, KIADB, Tahsildar office to get proper documents. The documents issued are conditional and developers misuse this, when the period of conditionality fails, and the developer does not comply he is not blacklisted or documents cancelled but the hapless citizens are being penalized. Ofcourse, there is legal opinion, and lawyers can help, but we find that many citizens go with bank's legal opinion which varies from bank to bank for the same project based on bank's risk appetite. As the Akrama Sakrama bill discussions have started, several innocent citizens are being duped by developers that the properties will get regularized according to this bill, so they are floating all the norms. As the land prices have increased significantly, innocent citizens are left with no option to buy in these unauthorized illegal layouts.
Considering these issues, can we request that a independent infrastructure regulatory commission to be setup for Bangalore where every infrastructure developer be it private or co-operative housing society should mandatorily register with its directors identification number (DIN). Any real estate project has to be approved by IRC based on approvals from BDA, BMRDA, BBMP, DC office and legal validations. IRC should have powers to stop registration of Illegal and unauthorized properties at sub registrars. IRC should have powers to issue notices to BBMP to not issue khatas or collect taxes for such unauthorized layouts. Citizens can in a single window appeal against any irregularity committed by the developer. IRC should have powers to Blacklist developers who do not comply with its regulations. IRC can issue single set of guidelines for layout or apartment formation to developers. IRC should have powers to instruct BDA/BMRDA to undertake demolishion and acquisition of illegal layouts. IRC should create a uniform legal validation structure for lawyers and banks to follow to issue housing loans. Certifies and trains real estate professionals so that they do not make misleading, exaggerated or false claims, they do not deny services and treat customers with respect and honesty while selling real estate.
Your opinions please. We could as a group create an appeal and take it to Shri S Suresh Kumar, Minister for law and municipal administration.
An appeal for a infrastructure regulatory commission
An appeal for a infrastructure regulatory commission
Last edited by Jkulkarni on June 10th, 2012, 5:19 pm, edited 6 times in total.
Re: An appeal for a infrastructure regulatory commission
Collecting here stories of such frauds at various projects that can be submitted as proof.
Please contribute your cases.
Developer: Nirman shelters
Member: premnathkumar89
Message:
sirs, my name is sri.premnath kumar. i recently went to nirman shelters new office at south end circle,to get help to procure a housing loan.i have purchased this 30*40 site from them 12years back at nirman layout.i and most of my friends were told that these were DC converted sites with all govt approvals. but now their layout manager says that my site is a GREEN BELT site and hence i cant get a bank loan.she pointed to the village name in the sale deed,which said "S.BINGIPURA" .she said they have formed and sold more than 600 GREEN BELT sites. she also seemed very casual about it. is it not a crime to sell green belt sites? while also lying that they are DC converted sites. i am feeling hopeless as i dont know how to convey this to my family,as we were hoping to finance our son's education through this site. PLEASE HELP.
Please contribute your cases.
Developer: Nirman shelters
Member: premnathkumar89
Message:
sirs, my name is sri.premnath kumar. i recently went to nirman shelters new office at south end circle,to get help to procure a housing loan.i have purchased this 30*40 site from them 12years back at nirman layout.i and most of my friends were told that these were DC converted sites with all govt approvals. but now their layout manager says that my site is a GREEN BELT site and hence i cant get a bank loan.she pointed to the village name in the sale deed,which said "S.BINGIPURA" .she said they have formed and sold more than 600 GREEN BELT sites. she also seemed very casual about it. is it not a crime to sell green belt sites? while also lying that they are DC converted sites. i am feeling hopeless as i dont know how to convey this to my family,as we were hoping to finance our son's education through this site. PLEASE HELP.