Says, decision to provide significant relief to allottees; interest to be waived off
Chandigarh, April 13:
Giving a big relief to the Punjabis, Chief Minister S. Bhagwant Singh Mann led government has approved a One-Time Relaxation (OTR) policy regarding non-construction fees and outstanding allotment amounts for allottees of the state’s Improvement Trusts. This decision will provide substantial relief to allottees and waive the interest charged.
Divulging further, Punjab Local Government Minister Dr. Ravjot Singh said that keeping the public interest in mind, the Mann government has approved the OTR policy for outstanding amounts from allottees of residential and commercial properties under Improvement Trusts, which will give people an opportunity to deposit their outstanding property payments.
The Cabinet Minister said, as per certain conditions of One-Time Relaxation, which must be followed, allottees who have received allotment letters less than 15 years ago or more than 15 years ago will receive a 50 percent discount on the total non-construction fee (principal amount plus interest). Similarly, for those whose allotment period exceeds 15 years, the non-construction fee will be fixed at 5 percent of the reserve rate.
Dr. Ravjot Singh informed that this policy will provide an additional 25 percent discount on non-construction fees for senior citizens, women and legal heirs of armed or paramilitary forces personnel killed in any action, over and above the existing exemptions.
The Local Government Minister said that the OTR policy will also apply to regularize properties allotted by Improvement Trusts, after depositing outstanding amounts as per the allotment letter. He clarified that this exemption will only apply to cases where the allottee has deposited one-fourth of the bid amount after allotment of the respective property.
The Cabinet Minister further said that under this policy, allottees can regularize their property by paying the applicable simple interest rate on the outstanding amount as per rules issued from time to time and restoration charges at 2.5% of the reserve rate for 2025-26. He mentioned that this policy provides complete exemption from penal interest.
Dr. Ravjot Singh informed that to avail benefits under this policy, allottees must ensure they send their request to the concerned Improvement Trust manually or via email by July 31, 2025 and are obligated to deposit the outstanding amount at the concerned Improvement Trust by December 31, 2025.
The Local Government Minister further said that implementation of this policy will not only improve the financial condition of Improvement Trusts through collection of outstanding amounts but will also eliminate public complaints and unwanted litigation.
