Decision will save allotments from getting cancelled on account of non-payment of allotment price

After repeated extensions to the construction period of vacant plots and registering conveyance deed at the original allotment price instead of the prevailing collector’s rate, the Punjab government has showered another bounty on allottees of plots in Mohali.

The Greater Mohali Area Development Authority (GMADA) has decided to regularise allotments of those who defaulted in the payment of allotment price. The regularisation will be done in cases where the default in payment is up to Rs 10,000 or 0.5 per cent of the total allotment price.

This major policy decision will save allotments of defaulters from getting cancelled on account of non payment.

A senior GMADA official told Newsline that several defaulters had requested for regularisation of their allotments, pleading that they had inadvertently defaulted in the payment.

As per the present allotment policy, the allottees have to deposit 15 per cent of the total allotment price within 30 days of the allotment.

If this payment is not made during the stipulated period, it could be allowed to be deposited within 180 days.

The GMADA Chairman is empowered to grant further extension, but not without imposing penal interest and surcharge.

If, however, the payment is not made even during this period, the allotment is bound to get cancelled.

GMADA officials pointed out that besides defaults in initial payments, several allottees defaulted in the remaining payment — such defaults come to notice only when their accounts are reconciled before issuing a no-dues certificate.

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