Apartment complexes face axe
Hundreds of flats in areas under SCB like West Marredpally likely to be demolished
By : DC Correspondent
Update: 2014-10-07 03:22 GMT
Hyderabad: Around 100 apartment complexes housing about 12-42 flats each in the Secunderabad Cantonment Board (SCB) area in West Marredpally, Trimulgherry and other places are facing the threat of demolition.
Officials said these multi-storey apartments were constructed illegally on individual residential house plots after securing court stay orders in 2004-2005 despite notice from the SCB.
Now after a decade with the cantonment appellate authority, the lower court and the HC finally rejected their appeals flat owners are facing the axe. An SCB official said, “All flats in these complexes have been served vacating notice and have been given time till October 30.”
One of the apartments that has been served demolition notice is the Vaishnavi TNR Apartments in West Marredpally behind the Marredpally police station. This complex has 41 flats in an area of around 2,000 square yards.
SCB chief executive officer Sujatha Gupta said, “Vaishnavi TNR Apartments was constructed without the commercial apartment permit with many deviations. It came up in an individual house plot. Multiple land owners pooled their land and gave it to the builders. When we issued the notice to stop work in 2005 they secured a stay from a lower court and completed the work. They did not even leave the surrounding setback of 15 feet and built more flats on an additional floor though only G+2 permits are issued in SCB area.”
After the SCB appellate authority in Pune and a lower court blasted the builders, they (builders) approached the High Court. The High Court gave an order on September 22 saying that since there were several deviations in the construction of the building the SCB appellate authority can go for review again. It also told the builders to deposit Rs 10 lakh with the Cantonment Board as security.
During 2004-2005, when the real estate market was at its peak builders approached independent house owners and proposed to build apartments by pooling their land without taking clearance from the Secunderabad Cantonment Board, officials said.
“Around 100 apartment complexes in West Marredpally, Trimulgherry, Brook Bond Colony, 10 B colony and others are now facing demolition,”an official said.
The Malavi Co-operative Housing Society in Ward-7 consisting of 15 flats, Murthy Co-operative Housing Society in flat no. 51 and 52 of West Marredpally and many other apartment complexes are facing demolition.
Due to the demolition of illegal structures in the Secunderabad Cantonment Board region in the last one and a half years the largest cantonment region in the country is witnessing a slump in property transactions.
A higher authority of Secunderabad Cantonment Board (SCB), said, “The Board had been earning around Rs 10-12 crore as revenue from property transfers each year in the last decade. But it received only '7 crore last year.”
Officials attribute this slump in property transactions to fear among buyers due to the large scale demolition of illegal structures. People are reluctant to take risks while buying flats as they fear legal problems.
Meanwhile, the buyers of flats in the illegal apartments are in trouble now as they had spent millions for buying the flats after taking loans. They had failed to check the NoCs and tax documents before buying.
Mr Ratan Lal who owns two flats in Vaishnavi TNR Apartments which was served vacate notice said, “I was not aware of the stay order while buying. I thought everything was fine as the bank had cleared the loan.”
A SCB engineer said, “There are many deviations in these apartments apart from the fact that they were illegally constructed on a plot for an independent house.” As for the Encumbrance Certificate obtained from the registration office which is sought before sanction of loan by the bank, only title clearance was provided.
Surprisingly, these apartments have been paying property tax to the SCB. An official of the SCB’s tax wing said, “Tax assessments were done only after clarifying that the property was illegally constructed and would face demolition. Paying tax doesn’t mean the flats are legal.”
SCB CEO Sujatha Gupta said, “The buyers could have approached us. They did not even go through the permits for construction that was meant only for an independent house. They did not even check the tax papers which said that the building may face demolition in future.”