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EDC Dues: Colonizers to face imprisionment

Postby dheerajjain » Sun Apr 15, 2012 7:04 am

Town and Country Planning (TCP) department have approved an amendment in Haryana development and Regulation of Urban Areas Act 1975 which provides for civil imprisonmnet for defaulting colonizers. It is worth to mention that private colonizers in Greater Faridabad have about Rs 600 crores of pending original EDC dues which they collected from us but did not deposit to Govt. Some of colonizers like Piyush Group have defaults of more than 90% of original EDC pending to Govt. This is a welcome step as it will prevent diversion of EDC funds by colonizers and lead to faster development.
Times of India reports on April 12, 2012
http://articles.timesofindia.indiatimes ... aryana-edc
Defaulting colonizers to face imprisonment
Manveer Saini, TNN Apr 12, 2012, 02.25AM IST

National Capital Region|
External Development Charges

CHANDIGARH: Shocked over arrears of more than Rs 3,500 crore, Haryana government has finally woken up against colonizers who defaulted in payment of External Development Charges (EDC) and other levies to the town and country planning department (T&CP).

Courtesy an amendment made in the Haryana development and Regulation of Urban Areas Act 1975, the defaulting colonizers are now faced with civil imprisonment till the outstanding arrears are cleared. The amendment approved by Haryana governor on Monday is expected to be notified by Friday, officials in T&CP department said. Around 150 colonizers across the state are from the National Capital Region (NCR) of Gurgaon, Faridabad, Sonipat, Rohtak and Palwal, officials said.

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Besides citing the huge amount being shown as outstanding arrears accumulated over the past two decades, officials reason the move, initiated after 35 years of enactment of the Act, as measure taken by Haryana government to keep a check on private colonizers who would generally escape the liability after paying a partial amount as EDC and other levies.
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Re: EDC Dues: Colonizers to face imprisionment

Postby rajeevkishore » Sun Apr 15, 2012 12:26 pm

The it very strange that such an open cheating practice has been and still is prevailing, which is interpreted to be as per the rules and law of the land by the guilty builders.

The EDC was collected by the builders from us in a hurry, and with a delay penalty clause !!

I wonder if the Hry. Govt. has also levied any delay penalty or interest on the EDC amount not deposited by the builders to the Govt.

Does the enhanced EDC, which is being demanded by the builders, includes the INTEREST part levied by the Hry.Govt. on the due EDC which is still not deposited by the builders.

If yes, then the builder is liable for such penalty and interest part.

We should also seek to somehow deposit all the Hry.Govt. dues directly to the Hry.Govt. account, and not through the builders.
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