The Bangalore Development Authority, which has been scarred by dozens of scams in the last few years, is once again in the thick of controversy.
This time, it is the allottees of the 800 apartments the BDA proposes to construct in its Economically Weaker Sections (EWS) colony at Valagerehalli near Kengeri. They are crying foul over a BDA order they say that makes it impossible for them to get bank loans to buy the apartments.
For, the BDA has asked them to cough up the entire amount in four equal instalments. The first is to be paid along with the application, while the second, third and fourth are to be paid in gaps of 30 days. This means they are to pay the full amount within 90 days of allotment.
The BDA notification says that if they fail to pay the instalments on time, the defaulters will be fined at the rate of 18 per cent interest on the outstanding amount for the first 30 days. If they continue to default after 30 days they will be fined 21 per cent interest.
Allottees' problems
Most of the allottees are daily wage earners whose total family income is below Rs. 1 lakh a year; they don't have ready cash to pay the amount in full in a matter of three months; even nationalised banks are unwilling to give them loans as the BDA has not yet constructed the apartments.
“When we asked BDA officials when the apartments will be ready, they were evasive. Recently, the BDA Commissioner announced publicly they will be completed one year after commencement of construction. What is that supposed to mean? When will the construction commence?” asked Abhinesh Sharma (33), who runs a pani puri stall.
Caught in a maze
It's a Catch-22 situation for the allottees. Speaking to The Hindu on Thursday, they said they are caught in a maze of contradictions.
“The bank will not grant us loan until the construction is complete. The BDA will not tell us when the construction will be completed but wants the money right away. This is ridiculous,” said Lakhsme Gowda (25) who works as a salesman at a garment store in Kengeri.
RTI activist B.M. Shivkumar, who is organising these allottees for an agitation, reveals another interesting fact. “In the advertisement where the BDA called for applications for this EWS colony, it was mentioned that the allottees must pay the full amount in 180 days. But they reduced it to 90 days without any explanation,” he said.
Repeated attempts to contact BDA Commissioner Bharat Lal Meena proved futile.