Plot No. 2/140A, Noida for IT/ITES sector

Plot No. 2/140A, Noida for IT/ITES sector www.infralive.com 21 Infra LIVE August 15, 2022 claiming that the possession of land was given on February 27, 2017, whereas the correct date is Febru- ary 13, 2008. Here are thedetails. OnDecember 17, 2007 theNoida Authority allotted an industrial plot No. 02 at Sector-140A inNoida measuring 108,800 sqm (26.8 acres) to a newly incorporated company - Max Digi Infotech Pvt Ltd (MDIPL) for the establishment of IT/ITES Park to give impetus to the Information Technology sector in Uttar Pradesh. The allotment was done for a period of 90 years at a concessional rate of Rs 4,998 per sq mtr for the development of IT/ITES sector, for a total cost of Rs 54.38 crores. After payment of Rs 19.39 crores as upfront, the remaining amount of Rs 34.99 crores was required to be paid in 16 half-yearly installments along with annual interest rate of 11 per cent on the out s tanding amount , compounded half-yearly. The first installment of Rs 3.50 crore was due on June 30, 2008, while the last instalment of Rs 3.34 crore was payable on December 31, 2015. For any default in payment an additional penalty of 14 per cent was to be paid for the amount/ installment not paid. For continued default, the land allotment was to be cancelled. The lease deed was executed on February 13, 2008 after MDIPL had paid upfront amount of Rs 19.39 crores. The same day (February 13, 2008), the then director of MDIPL Nirmal Singh took vacant physical possession of the complete demar- cated land. The possession certifi- cate jointly signed by him and the executive engineer of the Noida Authority which translated from Hindi to English reads as follows (scan-A1 at pg 22): “ 1,08,800 sq mtr. I have taken possession of Industrial Land No. 02, Sector 140A, Noida on February 13, 2008. I am aggregable to the demar- cation, shape and area of this land, and there is no encroach- ment, of any sort, on this land.” Important terms of Lease Deed As per the terms of allotment, 75 per cent of the area was meant for IT/ITES, 10 per cent for residen- tial, 10 per cent for commercial, and a minimum of 5 per cent for facilities. Accordingly, for 108,800 sqm with FAR of 2.00 the total covered area becomes 217,640 sqm. Out of this, not more than 10 per cent of total FAR was to be allowed for commercial use ie maximum 21,764 sqm (scan-B at pg 24-25). Also, in the lease deed no change in constitution of lessee was permissible before completion of the project and if lessee was desirous of effecting change in constitution after completion of the project, the lessee was to pay transfer charges @ 10 per cent of prevailing rate of allotment as on the date of transfer. Further, the plot was leased on “as is where is” basis. It is important to note that the lease deed was executed without levy of stamp duty and Registration Charges for setting up a IT/ITES Park, under the Industrial and service sector investment policy 2004 of Government of UP. The company paid just Rs 5,080. But, if the project was not completed within stipulated period of five years from the date of execution of lease deed, the lessee was required to deposit the stamp duties and Registration Charges along with interest @18 per cent per annum until the date of payment. The lessee was also required to pay extension charges at the rate of 4 per cent of the lease premium for e v e r y y e a r o f d e l a y . T h e immoveable property so leased out was to be used for the purpose of setting IT and IT enabled services (IT/ITES) unit only and not for any other purpose. This was described in the said policy and notification dated January 19, 2005 of govern- ment of Uttar Pradesh (GoUP). Relevant extracts from the lease deed have been scanned and given as scan-Bat pg 24-25. In its investigation, InfraLive sanctioned plan of Noida Author- ity. Even UP-RERA has registered various projects on this plot under commercial category in a mechani- cal manner without even bothering to check the terms of lease deed and the sanctioned plan. This self- styled change in usagemeans a gain of Rs 790 crore to Bhutani group, this being the difference in the land price. Besides this, in order to cheat the Noida Authority and escaping from substantial financial liabili- ties and other consequences, Sanchit Bhutani, promoter of Bhutani Group submitted a false affidavit dated November 13, 2018 with the Noida Authority wrongly