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The Noida Authority has intensified its recovery drive against 22 residential projects that collectively owe around INR 5,560 crore, impacting nearly 9,750 homebuyers awaiting flat registrations. Under the state�s rehabilitation policy, developers could reduce dues to INR 4,260 crore by paying 25% upfront, but most have failed to comply. Of these, 12 projects partially paid their instalments, four made no payments, and six rejected the scheme entirely. The Authority has so far recovered only INR 29 crore, prompting cancellation notices, sealing actions, and legal proceedings. With registrations stalled and strict enforcement underway, the move underscores a renewed focus on accountability and buyer protection in Noida�s real estate sector.
The Noida Authority has stepped up its recovery drive against 22 residential projects that owe approximately INR 5,560 crore, affecting nearly 9,750 homebuyers whose flat registrations remain pending. Under the Uttar Pradesh government?s rehabilitation policy, developers had the option to reduce their dues to about INR 4,260 crore by paying 25 per cent upfront of the recalculated amount, but many have failed to comply. Advertisement
The projects fall into three categories. Twelve projects accepted the scheme and agreed to pay in instalments but have only partially met their commitments. Their total dues stand at around INR 3,379 crore, which could have been reduced to approximately INR 2,432 crore under the policy. One such project by AIMS Max Gardenia in Sector 75 reportedly owes more than INR 1,717 crore, with several units that have occupancy certificates still awaiting registration.
Four projects accepted the rehabilitation policy but did not deposit any payment, accumulating dues of around INR 1,239 crore, which would have come down to about INR 1,006 crore under the scheme. Another six projects declined the policy altogether, collectively owing about INR 945 crore, which could have been reduced to INR 821 crore if they had participated.
The Authority has so far recovered only about INR 29 crore from the first group of projects. In response, cancellation notices have been issued to all 22 developers, and enforcement actions such as sealing unsold flats and commercial spaces have been carried out. Legal proceedings and recovery of land revenue have also begun, with some cases referred to the Economic Offences Wing and reports submitted to the High Court.
As a result of non-compliance, homebuyers who have paid in full are unable to complete the registration of their flats. The Authority has displayed notices outside projects whose promoters have failed to pay and clarified that no further leniency will be extended to developers unwilling to comply with the rehabilitation framework.
The standoff between Noida developers and the Authority has left thousands of homebuyers in a state of uncertainty. While the rehabilitation policy aimed to ease the financial burden on builders and expedite registrations, poor compliance has stalled progress. The Authority?s stringent recovery actions highlight a shift towards accountability, signalling that continued defaulters will face serious consequences. The resolution of these dues will be crucial in restoring confidence among both buyers and developers in Noida?s real estate sector.
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