Chandigarh notifies new transfer policy for society flats

Chandigarh, November 15: A completion certificate  is no  more a precondition for  the execution of a conveyance  deed as the Chandigarh Administration has notified the new   transfer   policy  for cooperative  society flats,  paving the  way for resuming the  transfer of flats, which  had been stopped   over a  year ago.

Sources  said the  new  policy, “Chandigarh scheme for transfer of flats in  cooperative  house building societies-2018”,  had been notified  with an aim  to simplify the  procedure   while  announcing  a one-time  relief up to  June 30, 2019.    Under the policy, the Chandigarh Housing Board  (CHB) shall execute the conveyance   deed or lease deed in favour of the society on payment of the prescribed  stamp duty on the actual amount  paid  to the  CHB.

In case where the  conveyance  deed  or  the lease  deed is not executed till June 30, 2019,  the  said deed  will be  executed and  registered  at the prevailing  market  rates   and  not  on the actual   amount  paid to the CHB. The completion  certificate  will not be a precondition for the  execution of the conveyance  deed. However, the president of the society  concerned will give an undertaking that all basic amenities, including the  firefighting  equipment, are in place. At the time  of registration of the sub-conveyance  deed  or sub-deed in the  name of the  original allottees, the stamp duty will be charged at the present  value  of the flats  based on the    current  collector  rates. Devinder Gupta, former Chairman,  Housefed,  said the policy   required  more clarity.

The transfer of society flats will cost GPA  holders    more as the Administration has decided  to impose  one-time  charges on account of “unearned  increase”, besides a lumpsum  composition  fee for the  transfer of flats  sold  on the  basis of the  GPA/SA/will.   It has been stated in the  policy  that  there are many flats  which have been  transferred on the basis  of the GPA/SA/will without  execution  of the  conveyance deed as a result of which the  stamp duty for  such  conveyance/transaction could not be taken. Now,  it may  not be   possible to register  the  conveyance deed  on previous transaction  dates. Hence, it has  been decided to impose  a lumpsum  composition fee to be  recovered from the present  occupants  before   the execution of the  conveyance    deed.  Apart from the composition fee,  one-time charges on account of  “unearned increase” will also  be taken. Satish  Chandra Sharma and Kamal  Gupta, who live in society flats,  termed the “unearned  increase” and composition fee unjustified.
Source Tribune India