Companies-entrepreneurs make a profit on farmhouse allocations but invest their earnings in a home crisis.
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The 478-page report was tabled in the Legislative Council on Friday. These disturbances took place during the Mayawati government between 2008-11. According to the report, agricultural land was collected from farmers and allotted to them close to developed sectors filled with corporate offices. This has led to a significant increase in their value in the real estate market. The audit team inspected sectors 126 and 127 and found that the sectors were fully developed.
At least 10,000 square meters of farmhouses have been allotted, of which the swimming pool, residential unit and sports ground have been approved. According to the report, the market rate for those with full repayment capacity is Rs 14,400, while the allotment rate is set at Rs 3,100 per square meter. As a result, Rs 2,833 crore was lost without any public benefit.
Loss of Rs.1316 crore due to arbitrary rates
The report reveals that farm house pricing regulations were not the same between 2005-18. The Board has arbitrarily fixed the allocation rates. This alone caused a loss of Rs 1316.51 crore. Regardless of the increase in reserve prices, an allocation has been made for more built-up area, which will be Rs. Failed to recover revenue of Rs 13,968 crore.
Billions were owed and land was given at a low price
Amrapali, which had not previously paid the arrears, made several allocations to Unitech Group companies. These two allocations amount to Rs.9828.49 crore as on March 2020.
- In the year 2015-18, 79.83% of the total allocation was made to three groups namely Wave, 3C and Logics. Of these three, 14959 crore are in arrears.
- 63% of group housing projects are unfinished. Of the 1.30 lakh flats approved, 44% did not issue occupancy certificates.