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In Sector 79, Noida, 44 residents of Gaursons Sportswood have filed a writ petition under Article 226 in the Allahabad High Court, seeking the registration of flats handed over five years ago. The delay stems from unresolved issues within the Sports City initiative, launched in 2010, requiring 70% of the land for sports infrastructure. A 2019 CAG audit revealed irregularities, leading the Noida Authority to freeze approvals for occupancy certificates and registries in 2021. Despite Gaursons receiving a temporary completion certificate and a no dues certificate, the freeze persists, leaving buyers unable to sell or transfer properties. Petitioners argue this infringes on their fundamental rights and cite UP-RERA guidelines supporting their claims. The next hearing is set for January 10, 2025. This case could impact thousands of other homebuyers facing similar registration hurdles in Noida's Sports City projects.
A group of 44 residents from Gaursons Sportswood, located in Sector 79, Noida, have filed a writ petition with the Allahabad High Court under Article 226 of the Constitution. The petition seeks the registration of flats that were handed over to these residents five years ago, which still lack formal ownership documentation due to bureaucratic and policy obstacles.
Unlike many housing projects where delays are primarily due to unpaid dues, the issues facing Sportswood are linked to a breach of agreements related to its development under the Noida Authority's ambitious Sports City initiative. Launched in 2010, this project required that 70% of the land be allocated for sports infrastructure, while the remaining area was designated for residential and commercial purposes.
The development of Sports City was entrusted to four consortiums, with Xanadu Estate Pvt Ltd overseeing projects in sectors 78, 79, and 101. Xanadu divided the land into 16 parcels, delegating portions to various real estate developers, including Gaursons. However, the project encountered difficulties after a 2019 audit by the Comptroller and Auditor General (CAG), which identified irregularities, particularly the failure to complete the requisite sports infrastructure on the specified 70% of the land.
In January 2021, in light of the audit's findings, the Noida Authority suspended approvals for revised maps, occupancy certificates, and registry applications related to all Sports City projects. This freeze has left Sportswood residents, who have paid the full cost of their flats, including stamp duty, in a state of uncertainty.
One of the petitioners, noted that the Sportswood project was granted a temporary completion certificate in March 2019 after meeting construction requirements, allowing the developer to hand over the flats. However, in spite of fulfilling all financial obligations and obtaining a temporary completion certificate, the registry process was stalled due to unresolved policy issues tied to the broader Sports City initiative.
Another petitioner highlighted the financial and legal challenges caused by the delay. Despite homebuyers having paid all dues, including compensation to farmers, utility charges, and stamp duty, the Noida Authority and the developer have yet to facilitate sublease registrations. This has left homeowners unable to sell, transfer, or financially leverage their properties.
The petition argues that linking sublease registration to the unresolved permanent completion certificate infringes on the buyers' fundamental rights and requests the court to permit registries to proceed based on current approvals, bypassing the pending completion certificate requirement. Concerns about escalating financial burdens due to potential increases in circle rates in Noida-expected to rise by 30%-have further complicated the situation, as this could significantly hike registration costs once the process resumes.
A bench comprised of Justices Manoj Kumar Gupta and Anish Kumar Gupta directed the Noida Authority to address the petitioners' concerns, scheduling the next hearing for January 10, 2025. This case has the potential to set a significant precedent, not only for the 44 petitioners involved but also for thousands of other homebuyers in similar situations within the Sports City projects. Gaursons Sportswood alone has around 800 buyers, many of whom remain uncertain about their property rights.
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