Real estate firm, GMADA lock horns over external devp charges

A real estate firm is set to file a recovery suit of approximately Rs 250 crore against Greater Mohali Area Development Authority (GMADA) over the latter’s alleged failure to provide services. The firm alleged that it deposited Rs 32.76 crore towards external development charges, licence fee and other charges for a 77.87-acre colony in Karala village, Dera Bassi, in 2019 and 2020.

Meanwhile, following the statement of GMADA chief accounts officer, a cheating case was registered at the Phase-8 police station. The official stated that the promoter failed to timely deposit external development charges and other levies totalling Rs 12.36 crore.

The real estate firm, Chandigarh Royale City Promoters Private Limited, claimed that total the external development charges demanded by GMADA at the time of passing the project totalled Rs 25.54 crore. Over a period of time, however, the promoter has paid Rs 32.76 crore towards the charges yet GMADA was demanding Rs. 40.04 crore.

“The development authority has accepted in High Court that no work has been done by them in the colony against the external development charges amount received. If it has not done any work, how we are liable to pay anything?” the promoter questioned.

The promoters also criticised GMADA’s “arm-twisting”. “They took post-dated cheques against pending external development charges /interest because they have stopped passing the building plans of customers. We have given the post-dated cheques with clear instructions that until external development works are not completed by them, they are hereby directed not to encash those cheques as the matter is also pending in the Punjab and Haryana High Court. Despite of the request, GMADA presented the cheques, which bounced,” their statement read.

Around 500 families reside in the colony, according to the firm, which flagged the several problems being faced the residents including he accumulation of sewage-treated water, incomplete electrical works. “For drinking water, we are compelled to use the ground water. It is not legal but GMADA has asked us to use groundwater till no arrangement is made,” the statement added.

Chandigarh