Property owners in Delhi may face recovery notices and sealing action after a preliminary government scrutiny found that nearly 70 per cent of around 300 large projects had allegedly secured building plan approvals without paying the mandatory Infrastructure Development Charge.
Delhi Jal Board Minister Parvesh Verma said the properties, each measuring more than 3,000 square metres, were identified during the first phase of an investigation into alleged irregularities involving residential, commercial and group housing projects.
“Around 300 such properties have been identified so far. In the preliminary scrutiny, nearly 70 per cent of these properties had got their building plans approved without depositing the IFC,” Mr Verma said.
70% Of 300 Large Projects Flagged
The investigation was initiated after information surfaced that several applicants had allegedly obtained building plan and layout approvals from the Municipal Corporation of Delhi using letters issued by the Delhi Jal Board instead of valid no-objection certificates confirming payment of the charge.
According to the minister, Delhi Jal Board records showed “zero payment” in several cases even though clearances issued on letterheads had allegedly been used to secure approvals from the MCD.
The Infrastructure Development Charge, or IFC, is levied by the Delhi Jal Board on new constructions and property redevelopment projects to fund water supply and sewerage networks.
Payment of the charge is mandatory for residential, commercial and group housing construction projects in the national capital.
DJB, MCD Officials’ Role Under Scanner
Mr Verma said the government suspects the involvement of Delhi Jal Board engineers, including some who were nearing retirement, as well as MCD staff in the alleged irregularities.
The suspected revenue loss could run into thousands of crores of rupees, he said.
The government has ordered an examination of building plan and layout approvals granted over the past five years. Verification of other properties constructed during this period is still underway.
Officials have also been asked to provide data on the number of building plans approved by the MCD over the past 10 years, five years and one year, and how many applicants had actually deposited the mandatory charge.
The approval records will be matched with Delhi Jal Board payment data to identify projects where clearances may have been issued without payment of the IFC.
Notices To Be Issued, Dues Recovered
Mr Verma said notices would be issued to property owners found to have carried out construction after obtaining approvals without depositing the mandatory charge.
Once the verification exercise is completed, the government will recover the outstanding IFC from property owners who have not made the payment, he said.
Buildings found to have violated the NOC requirements could face sealing action. Properties could also be sealed if their owners fail to clear the outstanding amount, the minister added.
The probe comes after the Delhi government reduced the Infrastructure Development Charge by up to 70 per cent in May to ease the financial burden on property owners.
For Category A and B colonies, the charge was reduced by 59 per cent, from Rs 13.18 lakh to Rs 5.40 lakh.
For Category E and F colonies, it was reduced from Rs 3.29 lakh to Rs 2.70 lakh.
In Category G and H colonies, the charge was cut by 70 per cent, from Rs 3.29 lakh to Rs 1.62 lakh.
Despite the reduction, alleged irregularities in the collection of the charge continued to be reported, prompting the government to order the wider investigation.
The probe is aimed at identifying cases in which building plans and layouts were allegedly cleared without payment of the mandatory charge through the use of irregular documentation.
