NOIDA: Noida Authority will urge UP govt to reconsider a decision to grant a financial relief of Rs 63 crore to ET Infra Developers Pvt Ltd, the builders of World Trade Tower in Sector 16. The relief was granted to compensate for delays caused by a National Green Tribunal (NGT) ban on constructions within 10km of Okhla Bird Sanctuary between 2013 and 2015.
Authority officials pointed out that the developer had completed the towers before the NGT orders were imposed, but failed to secure an occupancy certificate because of lack of documents. This, they argued, makes the company ineligible for the waiver as the NGT ban had no effect on the project.
It was in March 2010 that Electrotherm Infra Developers (Consortium) was allotted commercial land in Sector 16 for the World Trade Tower project. The company was supposed to finish the project in three years and apply for an occupancy certificate by Aug 2, 2013.
The builder, which had already deposited Rs 48 crore, applied for the certificate on June 5, 2013, but failed to submit proper documents. On July 9 that year, the Authority’s Building Cell rejected the application, citing Building Regulations, 2010.
The NGT ban was imposed only on Aug 14, 2013 within 10km of the bird sanctuary. NGT tightened the restrictions in Oct 2013, asking the Authority to stop issuing OCs to projects without environmental clearance.
The developer requested the Authority to extend its payment instalments by two years and waive interest from Sept 2013 onwards, in keeping with NGT’s orders. The plea was rejected.
ET Infra made further appeals, requesting “zero period” waivers for a period starting July 9, 2013. The developer argued that despite completing the tower much before the ban, they failed to get the OC because of NGT’s orders.
The Authority, eventually, allowed partial relief between Aug 14 and Oct 28, 2013.
In Aug 2015, the ban was lifted, with the Centre reducing the eco-sensitive zone around the sanctuary to 100 metres.
But the developer approached Allahabad high court, seeking full waiver for a two-year period from Aug 2013. In 2017, the HC asked the Authority to address the company’s grievances in four weeks. The Authority, however, granted a limited zero-period benefit and only waived penal interest from Oct 29, 2013 to Aug 19, 2015.
On Aug 24, 2023, the developer sought a review of the waiver under the Uttar Pradesh Urban Planning and Development Act, 1973. The state govt reviewed the case and allowed a full waiver of interest and lease rent, amounting to Rs 63 crore, for the period between Aug 2013 and Aug 2015.
The Authority, however, contested the decision. During its previous board meeting, officials argued that the delay in getting the OC had nothing to do with the ban but was because of the developer’s own faults. They also pointed out that ET Infra had already received partial waivers for the affected period and had cleared all outstanding dues by Nov 2022.
“This additional relief would set an unfair precedent and impose a significant financial burden on us,” an official said.
