(Substituted as per decision taken by IDC vide 25 of the meeting held on 13.11.2000, item  9 of 8.1.2001 and item 8 dated 29.6.2001.)

 

 

18 TRANSFER OF PLOT AND CHANGES IN CONSTITUTION

 

18 (a) Transfer defined:

For the purpose of this provision transfer of plot (transfer of leasehold rights) will mean transfer of full plot, by way of sale, lease, assignment etc. including Merger, Acquisition and Amalgamation of the Companies. It will include transfer of plot/land by an individual/firm/company or any other allottee/lessee as the case may be.

 

Note:

(i)                   The transferee will have the status of an allottee/lessee of the Corporation and all the rules and regulations of the Corporation will apply to the transferee 'Mutatis-Mutandis'. The transferee will be holding the land for the remaining lease period available in balance with the transferor of the land/plot.

(ii)                 Lease period of 99 years will be computed from the date of original allotment in these transfer cases.

 

(a-i) Transfer of interest in Firm:

If, at any stage holding / ownership interest of the proprietor/ promoter partners, who were there in the firm at the time of plot/land allotment as the case may be, goes down below 51% in the firm, the same will be treated as transfer of allotted plot for the purpose of these rules & transfer fee as prescribed below will be charged.

 

(a-ii) Transfer of interest in Company:

In case of private limited / public limited companies, plot transfer will be so treated if the allotted plot is transferred to a new company / firm. But when only shares of a company are transferred or Directors in the company are changed and the plot remains in the name of same company, it will not be treated as transfer of plot.

18 (b)Transfer Fee:

(I) Transfer of plots allotted by RIICO for industrial, educational institutions and supportive services, by lessee / sub-lessees will be subject to nominal transfer fee as under:

Category of Industrial Area

Rate of Transfer Fee

Unsaturated

1% of industrial rate of development charges

Saturated

2% of industrial rate of development charges.

(II) In cases of transfer of plots allotted for residential and commercial purposes, the rates of transfer fees would be as follows:

S.No.

Type of plot

Rate of transfer fee

1.

Residential plot

1.5 times the rate of transfer fee applicable for transfer of industrial plot

2.

Commercial plot

2 times the rate of transfer fee applicable for transfer of industrial plot.

18 (c) Exemptions :

The following cases will be exempt from payment of transfer fee:

(i)                   If transfer of plot/land or interest/holding in the firm is in favour of blood relations. The spouses shall also be treated at par with blood relatives.

(ii)                 If the transfer of the land/plot is being affected due to sale of land/plot by Financial Institutions, RIICO, RFC, Banks, DRT or the competent Courts under the relevant Act, after taking over the assets of the unit.

(iii)                If the transfer of the land / plot is being affected in pursuance of rehabilitation scheme sanctioned/ approved by BIFR/AAIFR/Financial Institutions.

(iv)               If the plot is being transferred to a new firm wherein the transferor proprietor/partner(s) and / or their blood relations are holding controlling shares in the new transferee firm.

(v)                 If an allottee proprietorship firm/partnership firm wants to carry out the business in changed name and / or style (converting into proprietorship firm/ partnership Firm/ Company as the case may be) provided the original proprietor/partners and / or their blood relations hold major share holding in the new set-up.

(vi)               If an allottee private limited / public limited company continues to carry out the business in its name irrespective of making changes in their board of director or carry out the business in the name of the company permitted by re-placing the name of existing company.

 

18 (d) Explanations and notes :

(i)                   Transfer of plot under the rule can be permitted even if the project is not set up in the allotted plot. However, in cases of plots allotted after 3.12.2005, transfer of vacant plot will not be permitted.

(ii)                 Existing partners / promoters means partners / promoters existing at the time of plot allotment.

(iii)                Blood relations means husband, wife, sons, daughters, brothers, sisters, father, mother, grand father & grand son of the allottee.

(iv)               Transfer of the plot under the rule will be subject to the condition that the Corporation will not be responsible to provide any infrastructure facilities viz. road, water, power, drainage, street lights etc. It will be the exclusive responsibility of the transferor/transferee to arrange the required infrastructure facilities at their own level and cost. An undertaking to this effect shall be taken from the transferor / transferee at the time of issuing permissions for transfer under the rule.

(v)                Transfer of plot / land under these rules will be permitted for the same purpose for which the plot / land had been allotted.

(vi)                Computation of transfer premium would be done as per the rate prevailing on the date of payment made by the allottee. (Inserted as per IDC decision taken vide item 6 on 16.3.2001) 

(vii)              All provisions mentioned in this rule will be applicable on all pending cases. However. the cases wherein transfer premium has already deposited shall not be reopenrd. (Amended as per IDC decision taken on 20.05.2004 vide item18 on 21.10.2005)

 

18 (e): Allottees of industrial plots may be permitted to transfer / use the allotted plot for setting-up telecom infrastructure related service, on payment of a premium @ 5% of the prevailing industrial rate if the plot is located in saturated industrial area. However, no premium shall be charged for such transfer if plots are located in non-saturated industrial areas at the time of the transfer.

18 (f) Exchange of Plots:

(f-i) Mutual Exchange of Plots:

Exchange of allotted industrial and residential plots of same size among allottees in the same industrial area/ residential colony can be allowed without charging any premium.

(f-ii) Exchange of allotted industrial plot with vacant plot in the industrial area with a view to resolve the dispute:

a.        In case of plot allotted through normal procedure and the plot allottee is not in position to commence activities due to land dispute, then equivalent size vacant plot may be allotted on original allotment rate in the same area provided the area is non-saturated industrial area and if no such plot is available in the said industrial area, then he may be given an option to take a plot in other non-saturated industrial area.

b.       In case of plot allotted in auction or under TBAY goes under dispute then plot will not be exchanged and the deposited money can be refunded to the party alongwith interest with the approval of CMD. In saturated industrial areas plots are auctioned after fixing the reserve price depending upon the location of plot and the plot is auctioned on 'as is where is' basis. However, on the request of party for allotment of alternate plot in other non-saturated industrial area, plot may be allotted on the rate of development charges prevailing in the area and the money deposited against the disputed plot would be adjusted against the new plot.

c.        In case of plot allotted through normal procedure but at the time of resolving the dispute the industrial area becomes saturated, in such cases plot will not be exchanged in the same area and deposited money will be refunded with interest with CMD approval. However, on the request of party for allotment of alternate plot in other non-saturated industrial area, plot may be allotted on the rate of development charges prevailing in the area and the money deposited against the disputed plot will be adjusted against the new plot.

d.       In this policy, only those plots will be considered under dispute wherein competent court has granted stay or there is trespass of religious nature due to which the allottee is not able to carry out the activities in the plot.

e.        The cut off date for seeking the relief will be two years from the date of execution of lease deed or the date of plot possession taken, whichever be earlier. In case of delay, only deposited money will be refunded considering the plot allotment as cancelled or surrendered.

f.          In case area of the offered plot in the same area is more than the area of plot allotted earlier then development charges for the excess area will be levied at the prevailing rate in the area. However, in case of deficit, in the area of offered plot, development charges for the deficit area will be returned at the original rate of allotment alongwith interest as per the Corporation policy.

g.       In case the rate of development charges of the plot offered in exchange in other area is more than the rate of allotment of original plot then the allottee will pay the difference in development charges, however, in case the rate of development charges is less, then the Corporation would refund the amount at the original rate of allotment alongwith interest as per the policy.

(Clause 18-5(f-1) inserted as per IDC decision taken on 27.12.2004)

 

(f-iii) Exchange of Plots Allotted in Business Campaigns:

Further, plots allotted in Business Campaigns may be allowed for exchange by the unit head with vacant plot in the unsaturated industrial area on payment of a fee @ Rs.5/- per sqm. provided the rate of development charges in the area is unchanged. If the request for exchange of plot in the same area is accepted then the allottee shall not be charged on account of service charges and economic rent for the financial year during which the plot exchange has been allowed, for the exchanged plot if economic rent and service charges have been paid for the earlier plot. Any case of exchange of plot in saturated industrial areas will be decided by IDC. In case of allotted plot under depression or near to polluting unit, plot exchange will be permitted at the level of Executive Director subject to payment of fee @ Rs.5/-per sqm. All the cases of exchange of plot relating to industrial areas Bhiwadi, Chopanki and Khuskhera will be decided at HO Level. (Decided by IDC vide item 12 on 12.08.2005)

 

 

18 ( g ) Surrender / Cancellation of Plots allotted for any purpose such as Industrial / Residential /Commercial/Institutional:        

 

        In case the Corporation cancels allotted plot or if any allottee or a lessee intends to surrender the plot or part thereof for any reason, the Corporation may accept it on the condition as it may deem fit. In such cases of plots surrender/ cancellation after 1st June 2004, the amount of development charges recovered from the party will be refunded after dealing the case in the following manner:

 

(i)                  Service charges, economic rent and interest on unpaid service charges and economic rent till the date of surrender/cancellation of plots will be deducted from the refundable amount.

(ii)                Security deposit/ amount of keenness money will stand forfeited.

(iii)               Deduction of development charges irrespective of date of plot allotment will be made as under:

S.No.

Procedure of plot allotment

Rate of deductions

1.

Plot sold by normal allotment

Nil

 

2.

 

Plots sold by auction or under Tatkal Scheme

6.25% of the total sale price (development charges).

(iv)             The interest received will not be refunded and outstanding interest till the date of plot surrender or cancellation will be recovered and deducted from refundable amount of development charges. (The policy is amended as per IDC decision taken vide item 8 on 20.5.2004)

(v)                Dispatch of the cheque of refund of amount sent by registered A.D. post should be considered as refund of the amount under RIICO Disposal of Land Rules, 1979  irrespective of non- encashment or returning of the cheque  by the concerned party to the Corporation. The money shall be refunded only after the possession of the land is handed over by the party or possession is taken as per orders of the competent court / authority or deemed possession of the vacant plot.

            (Substituted as per IDC decision taken vide item 8 on 10.12.2001 and item 8 on 27.12.2002)

 

(g-i) Conditional Surrender:

For the purpose of setting up of a new unit in joint venture with a foreign company, the allottee may be allowed to surrender his plot to RIICO. The same plot may be allotted to the proposed new unit at the rate prevailing on the date of allotment, irrespective of the priority list of the pending applications and holding of controlling share by the original proprietor / partner(s) / directors.

 

18(h) The deposited amount shall be refunded alongwith interest as per the prescribed rate with the approval of the Managing Director in those cases where the allotment / possession of the plot could not be given by the Corporation due to court case or other unavoidable circumstances. However, the present rate of interest (w.e.f. 1.11.2003) is as following:

 

1.

If amount remains with the Corporation for a period less than 1 year

@ 5.50% p.a.

2.

If amount remains with the Corporation for a period of 1 year and above

@ 6.00% p.a.

        

(Inserted as per IDC decisions taken vide item 28 on 20.9.1997, item 6 on 21.2.1998 and office order No. IPI/F-1 (9)2/82 dated 29th October, 2003)

        

(h-i)     Where an entrepreneur is desirous of getting a plot / plots allotted in any of the Industrial Area of RIICO in lieu of the plot / plots already allotted to him/ her in a particular industrial area, the entire amount deposited by the entrepreneur on account of Security Money and Development Charges shall be transferred by the concerned Unit Office after deducting the due amount of service charges, economic rent from the date of allotment to the date of such transfer, and interest thereon to the other concerned Unit Office, where the allotment of plot is being requested or allotment has already been made. The expenditure incurred on the lease deed will not be adjusted in any case. The fresh lease deed will have to be executed at the cost of allottee for change of plot in another area . However, in case of surrender of such new plot, 5% development charges (10% in case of NCR) shall be first calculated for both the plots allotted in two industrial areas and higher of these two amounts shall be deducted alongwith other, deductable amount while refunding the deposited amount.

Note :

            Such requests shall be considered at the rate of development charges prevailing in the desired area on the date of application for transfer made by the allottee. How ever no allotment shall be made in those areas where decision has been taken for allotment of plots through open auction or under tatkal bhookhand awantan yojna.

 

            (Inserted as per decision taken by IDC vide item 13 of the meeting held on 28.6. 1997 and clarification issued vide circular No. IPI/U (2) 2 (1-931/01) / 1602 dated 28th February 2002.)

 

18 (i) No Refund of cost of structures after cancellation / surrender of plot.

 

            The Corporation shall neither demand the cost from new allottee for structures built up and left by old allottee due to surrender / cancellation of allotted plot nor undertake the payment of construction of such structures to old allottee. However , old allottee may consider to take away goods left by it as per clause of lease-deed.

 

            (Inserted as per decision taken by IDC vide item 15 of the meeting held on 13.11. 2000.

            Inserted as per decision taken by IDC in the meeting held on 28th February 2002.)

 

18 (j) SURRENDER OF SHED :

Surrender of shed may be accepted in the  following manner :

a)      Where the allottee has taken the possession of the shed but desired to surrender it, the surrender may be accepted on such terms & conditions as may be decided by the Corporation.

b)      Where lease has been executed, the lessee shall execute formal surrender deed at his cost in favour of the Corporation .