The Delhi Development Authority (DDA) has already notified to the general public to be more carefull about any illegal offer of registration of plots/flats under the land pooling policy. Inspite of the the warning people are buying apartments being sold as lucrative investment options.
“The general public is hereby cautioned that for any sector within a zone (specific area) to qualify under land pooling policy, minimum 60% land needs to be made available by the developers. Besides, the final plot shall be carved out either within the sector or nearby in the concerned zone in which the application for participation in the land pooling has been made. The final plot allotted to the developer entity may not constitute part of the original plot. Therefore, the claim of coverage of a specific area under the scheme or availability of land in a specific location by developers cannot be made at this stage. The general public is, therefore, warned not to get tempted by such attractive offers/schemes for housing under land pooling policy,” says the DDA notice.
According to the Hindustan, it was reported that Sidharth Luthra, a senior criminal lawyer and former additional solicitor general of India said, “The practice, adopted by developers, is what is known as a pre-launch. Typically, a builder starts marketing the flats that he will build in the future even before the plans are approved by the municipal authorities or other plan-sanctioning authority. The builder does not execute any agreement with the buyer for the simple reason that there is no flat he can sell. Usually, non-binding documents such as ‘expression of interest’ or ‘memorandum of understanding’ are made by the builder, which offer little or no protection to the buyer in the event of any dispute with the builder.”
So can action be taken against such pre-launches in Delhi? Real estate and legal experts are of the view that such advertisements and sale are illegal and preventive action must be taken by DDA.