Cancelling of 2015 allotment: GMADA acting ‘in haste’, ‘arbitrarily’, says builder
Against the September 2015 allotment of plot for ₹131 crore, WTC Chandigarh has already paid ₹108 crore to GMADA within the allowable time period extending to June 2026. Further, WTC Chandigarh has been regularly highlighting the discrepancies in their calculations and delay in grant of permission to mortgage (PTM) by GMADA against executed term sheets since 2022.
Four days after Greater Mohali Area Development Authority (GMADA) cancelled the allotment of two builders, one of them, World Trade Center, Chandigarh, in a statement stated that the executive officer (EO) has initiated action “in haste” and “arbitrarily”.
Against the September 2015 allotment of plot for ₹131 crore, WTC Chandigarh has already paid ₹108 crore to GMADA within the allowable time period extending to June 2026. Further, WTC Chandigarh has been regularly highlighting the discrepancies in their calculations and delay in grant of permission to mortgage (PTM) by GMADA against executed term sheets since 2022.
The project is at a finishing stage, with more than 100% of receipts utilised towards project related expenses with significant future receivables and stock more than sufficient to cover any and all expenses.
Notably, notices to various other developers/allottees issued by GMADA are indicative of both the instability in the micro market and the hasty approach being taken by the authority.
WTC Chandigarh has already filed an appeal under sec 45(5) of the Punjab Regional and Town Planning and Development Act 1995 challenging the GMADA EO’s action and the matter is sub-judice.
