Nagpur: President, Nagpur District (City) Congress Committee and Nagpur West MLA Vikas Thakre has exposed the brazen violation of norms by Pune-based controversial builder Goel Ganga Group in connection with construction of World Trade Centre in Sitabuldi, the prime commercial area in the heart of Nagpur. Thakre has also raised question marks over the affairs of Nagpur Improvement Trust (NIT) in favouring the builder.
In a press release, the Nagpur West MLA has strongly demanded that the NIT should drop this proposal and take back possession of land with structure as soon as possible followed by blacklisting of World Trade Centre and Goel Ganga Group and impose hefty penalties. He also demanded that NIT should register FIR against World Trade Centre, Goel Ganga Group and all directors and officials of these two companies who were engaged in these criminal activities.
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Wed 25 Dec. 2024
According to Thakre, the Government of Maharashtra had approved Abhyankar Road Widening and Buty Mahal Street Scheme on 07-10-1997. The NIT had given lease of 10,602.09 sq. mtr land bearing Khasra Nos- 320, 315 (Part), Survey Nos- 3116, 3118, 3121, 3128, Mouza Sitabuldi, for construction of shopping complex for the success of Abhyankar Road Widening and Buty Mahal Street Scheme.
He further said that the NIT had given possession of land to lease holder– MP Buty and others on 26-08-2009. Lease holder accepted and acknowledged possession of the land. Later the lease holder transferred project to Pune-based builder — Goel Ganga Group.
According to Thakre, Section 17 of Land Disposal Rules (LDR) of NIT says, “Time limit for completion of building — (1) The lessee shall commence the construction of building within one year from the date on which the possession of the plot is offered to him and shall complete the same within 3 years of such date, such building, structure or work for which plans have been approved to the entire satisfaction of the Trust, (2) The Chairman may, in his discretion, permit extension of time prescribed for completion of building, structure or other works on payment of additional premium at this following rates- up to 1 year (5% of the premium), Between 1-2 years (10% of the premium) and Between 2-3 years (25% of the premium).” The same is mentioned clearly in Condition No-12 of lease deed executed between NIT and the lease holder, he said.
“Thus, the developer was supposed to complete the building by 25-08-2012. Unfortunately, developer could not begin construction of building by 25-08-2012. The developer got sanctioned building plan on 27-06-2012. NIT was supposed to cancel lease and take back possession of land on 26-08-2012. Using discretion powers, NIT Chairman recovered extra premium and gave extension for completion of building till 2014. NIT Chairman is not supposed to extend time limit for completion of building beyond three years i.e 25-08-2015. The developer failed to complete building as on this date. Unfortunately, the NIT is giving extension after extension beyond 25-08-2015 that is a violation of NIT Act, LDR, lease deed and for beneficial of builder,” Thakre stated.
“Most unfortunate part is that the administration of NIT headed by Chairman considered the application of World Trade Centre, erstwhile Goel Ganga Group and tabled a proposal before Board of Trustees in the meeting held on 23-07-2024 instead of rejection. Shockingly, Board of Trustees accepted the proposal of developer to consider actual possession of land on 11-02-2019 despite possession given and accepted by lease holder on 26-08-2009. Developer had also got sanctioned building plan in 2012 and also started construction. Still, actual possession date has been considered as 11-02-2019 in the meeting held on 23-07-2024.
“A decision was also taken to give exemption of 9 months of Covid-19 pandemic. Thus, building completion period has been revised from 25-08-2012 to 11-11-2022. Therefore, builder got relief from paying extra premium and interest of 10 years up to 11-11-2022. Builder benefitted by over Rs 15 crore from these decisions. It will cause financial loss of over Rs 15 crore to the NIT i.e State Exchequer. It is a big irregularity and violation of NIT Act, LDR, conditions of lease deed and a clear case of extending financial benefits to a builder,” Thakre mentioned.
He further said that the Board of Trustees also took decision to return whatever extra premium paid by builder to the NIT till 2014 that is another irregularity in this case. Legal department of the NIT in its legal opinion cautioned the administration headed by NIT Chairman that this decision will cause revenue loss to the NIT i.e State Exchequer. Still, administration tabled the proposal and Board of Trustees took decision causing financial loss of over Rs 15 crore to the NIT i.e State Exchequer.
Therefore, Thakre demanded that the NIT should drop this proposal and take back possession of land with structure as soon as possible followed by blacklisting World Trade Centre and Goel Ganga Group and impose hefty penalties.
He further stated that NIT had given lease of land under Abhyankar Road Widening and Buty Mahal Street Scheme to ease congestion, redevelopment and beautification of Sitabuldi Market especially on Abhyankar Road and road from Variety Square to Loha Puliya. Motive was also to facilitate proper parking services to citizens. Despite passing of 27 years from approval of scheme and acquired land from citizens, the NIT is yet to resolve problems of Sitabuldi Market. Builder is yet to complete the shopping complex. Traffic congestion has continued. There are no parking facilities. No beautification works can be seen. Citizens continued to face all types of problems at Sitabuldi for all these years. Thus, this project failed, unable to achieve goals of Abhyankar Road Widening and Buty Mahal Street Scheme, Thakre declared.
Considering all these issues, the NIT should cancel lease deed and take back possession of land along with structure standing on it as soon as possible. NIT should also register FIR on World Trade Centre, Goel Ganga Group, levy hefty penalties, stop giving extensions and recover outstanding amount of over Rs 15 crore from the builder, Thakre demanded.
