ATS, Supertech may lose group housing land near Noida airport

After builders ATS Realty and Supertech Township Project Limited repeatedly defaulted on payment of land cost dues to the Yamuna Expressway Industrial Development Authority (Yeida), it is planning to partially cancel the land allotments of the two realty firms, officials in the know of the matter said.

Yeida in 2013 allotted 100 acre land parcels each in Sector 22D to the realty firms, which were supposed to develop their respective projects there. While ATS has built and delivered the Allure township project, comprising 1,800 residential units, it needs to pay ₹668 crore in dues to Yeida. Likewise, Supertech has failed to pay ₹677 crore to the authority, said officials.

Yeida decided to cancel the land allotments partially after the two firms failed to make payments after opting for rebates in interest rates under the state government’s amnesty policy for stalled projects, under which a realtor can pay 25% of the total dues upfront, after availing of waivers on interest for the two years of Covid-19. The realtor can pay 75% of the remaining amount over a period of one to three years.

“We served these two firms notices and told them to take rebates and pay the dues to retain the allotment. But they still have not turned up for making the payment. Therefore, we will move a proposal in the upcoming board meeting on June 22 to partially cancel their allotments. Now the board will decide the fate of the allotments,” said Arun Vir Singh, chief executive officer, Yeida.

ATS Realty, under state government’s policy for stalled legacy housing projects, got a relief of ₹136.77 crore and it got a waiver of ₹531.37 crore. The realtor needed to pay 25% of these recalculated dues by April 28, but it still has not come forward to pay the amount, said Yeida officials.

But ATS Group chairman Getambar Anand said they are ready to use the opportunity but requested that the authority first give them possession of 180,000 square metres of land that is still being used by farmers.

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“We sought a time extension till May 30 and we agreed to pay ₹93.9 crore upfront. At least 180,000 square metres of land allotted to us is still occupied and cultivated by farmers. We offered to pay ₹53.5 crore as 64.7% additional compensation to farmers in exchange for physical possession of the land. We proposed to deposit 25% of the total plot cost of ₹372.7 crore in three instalments within 60 days of the layout/map approval. We hope our issues will be resolved,” said Anand.

Supertech was offered ₹128.68 crore worth of interest waivers under the government policy and the realtor was to pay ₹549.11 crore dues (recalculated), but it did not come forward to clear these dues, said officials.

“Supertech was to pay ₹137.28 crore, which is 25% of the total dues, but the realtor did not pay up. The 60-day period for payment expired on April 28 and the Supertech did not bother about the fate of 3,200 homebuyers, who have invested in this project,” said Singh.

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Supertech Limited chairman RK Arora said, “Yeida can’t cancel the allocation as Allahabad high court has already issued a directive that no coercive action should be taken as the land in question is disputed. This action of Yeida’s will be illegal if it goes ahead with the cancellation.”

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