The Parliamentary Standing Committee on Railways has flagged termination of contracts in Rail Land Development Authority (RLDA) projects. According to the committee’s report on performance of RLDA, the Letters of Acceptance of 16 commercial sites have been cancelled.
According to the Railways Ministry, default in payment of installments of Lease Premium by the developers is one of the reason for termination of these contracts. Further, developers faced issues in getting the projects financed from financial institutions. It was also stated that the National Green Tribunal (NGT) did not grant approval on certain grounds.
