Wednesday, September 26, 2012

Land Pooling Scheme to protect interest of land owners

by Haryananewswire (Balbir)
CHANDIGARH, SEPT 26
 With a view to protect the interests of land owners, Haryana Government has notified a ‘Land Pooling Scheme’ for development of residential sectors by Haryana Urban Development Authority (HUDA).
          While stating this here today, an official spokesman said that the Urban Estates Department Haryana acquires land for planned development undertaken by the HUDA as the State’s nodal agency for the purpose. Such land is acquired under the provisions of the Land Acquisition Act, 1894. The Government has also notified its ‘Land Acquisition and Rehabilitation and Resettlement Policy (R and R) dated November 9, 2010 in this behalf whereby the interests of landowners are duly protected with provisions for floor rates so as to ensure payment of market linked compensation, and a number of benefits under the R and R Policy, including payment of Annuity for a period of 33 years, which has been hailed as a model throughout the country.
             He said that the Government has now decided to introduce a ‘Land Pooling Scheme’ whereby the landowners are given an option to become partners in the development process. The land owners whose land is acquired for the development of residential sectors would have the option either to accept the compensation in monetary terms as available under the Land Acquisition Act alongwith non statutory benefits under R and R policy or to seek the compensation in the form of developed plots as full and final settlement.
          He said that the Land Pooling Scheme would be applicable in respect of acquisition proceedings initiated for the purposes of development of residential sectors pursuant to this Notification. A one-time opportunity of exercise of option under this scheme would also be available to the landowners in respect of the current acquisition proceedings and the period available for announcement of the Award was four months or more. The landowners would be required to exercise their option in writing on prescribed application form within a period of 60 days of the issue of this Notification. The landowners would be eligible to participate in the Land Pooling Scheme only if a minimum of 1000 sq yards or more of their land is acquired. 
          He said that the landowners opting for the Land Pooling Scheme would be provided developed residential site in the form of residential plots measuring 1000 square yards and commercial site measuring 100 sq yards against each one acre of land acquired or in the same proportion for the land acquired in lieu of the ‘compensation package and all other benefits admissible under the R and R Policy’ of the Government, at the time of first floatation of the residential sector for which land of the applicant has been acquired. He said that the applicant could also claim the amount in lieu thereof for the entitled developed land at the allotment rates applicable at the time of first floatation of the residential sector. He said that the landowners, who opt for the Land Pooling Scheme, would also have the option to request for payment of a part amount upfront at the time of Award as per floor rates as applicable to the area and seek developed plots.
          He said that the different sub-set of options under this option are that the landowner may request for allotment of developed land as per his entitlement at the time of first floatation on refund of the amount availed earlier at the time of Award, along with interest calculated at nine per cent per annum, to the acquiring agency of the Government. The landowner may also opt for allotment of developed land against balance amount as per his entitlement that was after adjustment of the advance amount paid to him along with interest thereon computed at nine per cent per annum. In this case, his entitlement for the developed land would be worked out on the basis of allotment price determined at the time of first floatation. The landowner may also opt for payment of the balance amount after adjustment of the amount paid in advance along with interest thereon computed at nine per cent per annum. His entitlement for the balance amount would be worked out on the basis of allotment price determined at the time of first floatation, he added. 
          He said that the Landowner would also have the option to opt for the ‘Land Pooling Scheme’ in respect of part of his land being acquired and accept ‘compensation package along with the R and R Benefits’ in respect of the balance land provided. He said that the minimum land being acquired is one acre and the option for the ‘Land Pooling Scheme’ and the ‘Compensation along with R and R Benefits’ was split in the ratio of 50:50 of his land being acquired. In case of those owners where the land acquired was less than one acre, the developed sites or plots would be given in proportion to the land acquired. He said that allotment of plots would be of standard size as per norms of HUDA. 
          He said that in case the owners were co-sharers in the acquired land, the plots or sites would be allotted in proportion to the share of each of the co-sharer. However, where such proportion was less than the standard size of the plot or site, the owners would be eligible either to have a plot in their joint name or seek monetary benefits in accordance with their share. The developed land would be allotted to the eligible landowners as per their entitlements through draw of lots from among the applications received from the landowners opting for the scheme. Plots would be transferred on freehold basis and would be governed by the rules and regulations of HUDA. There would be no upper limit for the beneficiary landowner under the scheme for utilisation or sale of his developed sites. However, any subsequent purchaser of land would be governed by the HUDA policies as applicable from time to time and time limit for construction would also be applicable for subsequent buyers as per HUDA policy. The land use in respect of such land would remain ‘residential’ or ‘Commercial’ as the case may be and would not change under any circumstances.  
          He said that the Award in respect of the land pooled under this Scheme would be announced by the Land Acquisition Collector under Section 11 (2) read with sub-sections (3) and (4) of Section 31 of the Land Acquisition Act, 1894. Wherever the entitlement of developed land was in fraction of the standard sizes of residential or commercial plots, the landowner would be compensated in monetary terms for such fraction. HUDA would execute conveyance deeds in favour of the landowners opting for the Land Pooling Scheme as per their entitlement or allotment of developed land for which no Stamp Duty and Registration Fee would be payable.
          He said that as far as possible, allotment of plots of standard size would be in accordance with the option indicated by the land owner in his application. However, there may be some change in the size or category of plots to be allotted, depending upon availability of number of plots of various sizes or categories as per approved layout plan.
          He said that if the acquired land of a landowner was 1000 sq yards, he would be entitled to 206.61 sq. yards of ‘Developed Residential Plot’ and 20.66 sq. yards of Developed Commercial Site. In this case, he could opt for an eight Marla plot (193.74 sq yards) plus payment for the balance 12.87 sq yards at the rate of first floatation of Residential plots in the sector. Similarly, the land owner could seek monetary compensation against the entitlement of 20.66 sq yds commercial site at three times the rate of first floatation of Residential plots in the sector. The acquired land of a landowner was 2000 sq yards, he would be entitled to 413.22 sq. yards of ‘Developed Residential Plot’ and 41.32 sq. yards of Developed Commercial Site. In this case he could opt for either ‘two plots of eight Marla size (387.48 sq yards) plus payment for the balance 25.74 sq yards at the rate of first floatation of Residential plots in the sector’ or ‘one plot of eight Marla size (193.74 sq yards) plus two plots of four Marla (215.26 sq yards)’ totaling 409 sq yards and claim monetary compensation for the remaining 4.22 sq yards. 
Similarly, the land owner could opt for one booth site of 27.12 sq yards and seek monetary compensation for the balance 14.20 sq yards at three times the rate of first floatation of Residential plots in the sector. If the acquired land of a landowner was 3000 sq yards, he would be entitled to 619.83 sq. yards of ‘Developed Residential Plot’ and 61.98 sq. yards of Developed Commercial Site. In this case he could opt either for ‘one plot of one Kanal and one plot of four Marla’ or ‘two plots of 10 Marla plus one plot of four Marla’ or ‘three plots of eight Marla’. Depending upon the total size of plots availed, monetary compensation for the remaining area would be given at the rate of first floatation of Residential plots in the sector. Similarly, the land owner could opt for two booth sites of 27.12 sq yards each and seek monetary compensation for the balance 7.74 sq yards at three times the rate of first floatation of Residential plots in the sector, he added. 
          He said that if the acquired land of a landowner was one acre, he would be entitled to 1000 sq. yards of ‘Developed Residential Plots’ and 100 sq. yards of Developed Commercial Sites. In this case he could opt either for ‘one plot of one Kanal + one plot of 14 Marla + one plot of four Marla’ or ‘one plot of one Kanal + one plot of 10 Marla + one plot of eight Marla’. Depending upon the total size of plots availed, monetary compensation for the remaining area would be given at the rate of first floatation of Residential plots in the sector. Similarly, the land owner could opt for one booth site of 90.45 sq yards or three booths of 27.12 sq yards each and seek monetary compensation for the Residual entitlement of commercial land. 
          He said that in case the acquired land was more than one acre, at least one plot of one Kanal size would be given for each acre of acquired land. The owner of two acre acquired land would, therefore, get at least two plots of one Kanal and could opt for plots in various permutations and combinations  out of one Kanal, 14 Marla and 10 Marla size categories only, to complete his entitlement of 2000 sq yards residential site. Similarly, in case of three acre acquired land, the owner would get at least three plots of  one Kanal and could opt for plots in various permutations and combinations out of one Kanal, 14 Marla and 10 Marla size categories only,  to complete his entitlement of 3000 sq yards residential site. On the same analogy, the owner of five acre acquired land would get at least five plots of  one Kanal and could opt for plots in various permutations and combinations out of one Kanal, 14 Marla and 10 Marla size categories only,  to complete his entitlement of 5000 sq yards residential site. 
          Similarly, for developed commercial site in case of more than one acre acquired land, at least one Single Storey Booth (big) of size 90.45 sq yards would be given for each acre of acquired land. If the acquired land was two acres, two such booth sites would be given and if the acquired land was five acres, five such booth sites would be given. For the remaining area of entitlement, the owner could seek monetary compensation if the remaining area was less than 27.12 sq yards or opt for small sized booths in case the remaining area was equal to or more than 27.12 sq yards plus monetary compensation as the case may be, he added.  
          He said that the option for Land Pooling Scheme would be exercised by the Landowner in writing in the Application Form. If the land being acquired was situated in an area for which the prescribed Floor Rate was Rs. 20 lakh per acre, the Landowner could opt for upfront payment of part amount up to Rs. 20 lakh per acre as an advance. This amount would carry a simple interest at a rate of nine per cent per annum from the date of payment till the date of final settlement. In case the land being acquired was one acre and the amount taken in advance was Rs. 20 lakh by the landowner, and plots of developed land were floated, say, after three years, the land owner could repay total amount of Rs 25. 40 lakh including Rs. 20 lakh and Rs. 5.40 lakh (interest) to HUDA and take developed land of 1000 sq. yards residential site and 100 sq. yards commercial site at the time of first floatation. In case the land being acquired was one acre and the amount taken in advance was Rs. 20 lakh by the landowner, and plots of developed land are floated, say, after three years, the updated amount along with interest at the prescribed rate would be Rs. 25.40 Lakh. In case the rate of first floatation of developed land was determined at a rate of Rs. 8000 per sq. mtr. (Or Rs. 6689/- per sq. yard) at the time of first floatation, the total cost of residential plots as per his entitlement would be Rs. 66, 89, 000. Therefore, after adjusting the updated amount of advance (Rs. 25.40 lakh), the entitlement for balance developed residential plot would be 620.27 sq yards. In this case, he could seek allotment of 100 sq yards commercial site and upto 620.27 sq yards residential land in the form of plots of nearest standard size available and receive payment for the balance land at the first floatation rate, he added.
          He said that in case the land being acquired was one acre and the amount taken in advance was Rs. 20 lakh by the landowner, and plots of developed land were floated, say, after three years, the updated amount along with interest works out to Rs. 25.40 Lakh. In case the rate of developed land was determined at a rate of Rs. 8000 per sq. mtr. (or Rs. 6689/- per sq. yard) at the time of first floatation, the equivalent developed residential land for this amount of Rs. 25.40 Lakh works out to 379.73 sq. yards (317.52 sq mtrs). Thus his entitlement for the balance developed residential land would be equal to 620.27 sq. yards (518.66 sq. mtrs.) of which the equivalent amount works out to Rs. 41, 49, 000 (620.27 x 6689). Value of his entitled Commercial site would be Rs. 20, 67, 000. Thus, the total balance value would be Rs. 62, 16, 000. The landowner could ask for payment of this balance amount at the time of first floatation of plots, he added. 
          He said that separate draw for residential and commercial plots would be held. In the first phase draw for residential plots would be held followed by draw for commercial plots, preferably within four months of the draw for residential plots. If the land being acquired of a landowner was one acre, and he wants to exercise his option under this provision, he could opt for the ‘Land Pooling Scheme’ in respect of 0.5 acres of land and the ‘Compensation package amount along with R and R Benefits’ in respect of the balance 50 per cent of his land being acquired. This ratio cannot be changed. He said that the value addition on account of GP, P and SP status of plots would be adjusted against the monetary benefit of residential or commercial plots to be allotted. In case the plot area was found to increase vis-à-vis standard size at the time of demarcation, the extra amount due would be adjusted against monetary benefit of residential or commercial plots. If in case the area of residential plots was found to decrease in the demarcation, monetary compensation at the first floatation rate would be given for the deficit area, he added.  
          He said that for ease of calculations, the decimal points up to 0.49 would be rounded to the lower full number, the decimal point of 0.50 would be taken as it is and decimal points above 0.50 would be rounded to the next whole number, in cases of land measurement or conversion and the amount. It would be the responsibility of the Seller to inform HUDA about the sale of plot before entering into sale agreement and incumbent upon the purchaser to get his or her name entered in the HUDA record by presenting a certified copy of registered sale deed to the concerned Estate Officer of HUDA within 90 days of registration. The purchaser of land would be bound by the conditions of allotment letter that would be issued by HUDA and would be governed by the HUDA policies as applicable from time to time. Time limit for construction would also be applicable for the purchaser as per HUDA policy. The land owner would get the conditions regarding presenting of sale deed to the Estate Officer by the transferee and applicability  of HUDA rules, regulations and policies on the transferee incorporated in the sale agreement, he added.

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