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UT Administration cancels 2008 housing scheme, refunds money to employees, ET RealEstate


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CHANDIGARH: In a major setback to hundreds of serving and retired UT employees, the UT Administration has submitted in the Punjab and Haryana high court that it has decided “not to go ahead” with the ‘UT Employees Self Financing Housing Scheme 2008’.

The UT has also decided to refund the money deposited by the petitioners and the other applicants, as per an affidavit submitted by the UT with the HC.

The scheme’s changed pricing and terms and conditions were challenged in the HC by the employees, and the affidavit has been filed by UT during the proceedings. The next date of hearing is later this month. “The scheme was launched in 2008. Since its launch, 15 years have already been passed. The ground situation, including the number of employees fulfilling the eligibility criteria, has also changed,” states the affidavit. Further, the UT has submitted, “After examining the entire facts and circumstance and discussion of the case, and taking holistic view of the matter, it was noticed that the implementation of the present housing at his stage is not viable in public interest. Hence, it has been decided by the competent authority that the scheme would be closed and employees refunded their money by the Chandigarh Housing Board (CHB).”

The CHB floated the scheme for constructing 3,930 apartments for its employees in 2007. But before any allotment letters could be issued, a directive/instruction of central government, dated 05.10.2012 was received by the Chandigarh Administration wherein it was directed that:-“Land, for any purpose, must not be disposed of below the market value and without auction and if any Union Territory Administration intends to dispose of any piece of land below the market value, prior approval of this ministry of home affairs must be obtained.” In response to the MHA directive, UT sent the proposal in the shape of draft Cabinet Note to the MHA and the matter regarding allotment of land was placed before the Union Cabinet on 02.01.2019. Later, the employees were given two options. In the first option, the houses prices were Rs 45 Lakhs to Rs 1.51 crores. Under Option Il, the house prices were Rs 54 Lakhs to Rs 1.69 crores. However, the employees in November 2020 had submitted that rates offered were not acceptable to them.

  • Published On Mar 6, 2024 at 11:30 AM IST

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