Notices to six non-starter companies in MIHAN-SEZ
| Date :13-Jun-2023 |
By Ravi Chandpurkar
As a major development, the Development Commissioner for Multi-modal International Cargo Hub and Airport at Nagpur - Special Economic Zone (MIHAN-SEZ) Sraman Vasireddy has recently issued show-cause notices to six co-developers for failing to start construction work of their projects within the stipulated timeframe mentioned in the guidelines of SEZ.
The six co-developers which have received the show cause notice hold total land covering 266.84 acres. The Letter of Approval (LoA) of the six companies has lapsed more than 10 years ago. The authorities have issued notices to the companies seeking cancellation of their permission to operate in the SEZ as they have failed to meet their obligations.
There are total 14 co-developers in MIHAN-SEZ. The Development Commissioner gives LoAs that are essential for the companies to operate in the SEZ. The Development Commissioner of MIHAN-SEZ said that the co-developers have to complete construction of their projects within three years of acquiring the land. The MIHAN-SEZ covers total area of 3,000 acres. The Development Commissioner would use his authority to terminate the Lease Agreement (LOA) of the six companies, if they fail to respond to the show cause notices within 15 days.
The move comes after the cancellation of LOAs of 31 small companies in the SEZ a year ago. Once the LOA is cancelled, the lease registration is also terminated, allowing the authorities to regain the possession of the land. It will have to be seen as to how these companies respond to the notices and whether they will be able to provide satisfactory explanations for the delay in commencing construction on the allotted land. The Development Commissioner of MIHAN-SEZ confirmed that he will carefully assess the responses received by the six companies before deciding on future course of action.
Non Operational Co-developers
Name of company Land LOA Date
1) DLF Limited 140.00 acre 31-03-2008
2) Building Research 7.85 acre 29-12-2008
& Management
3) L&T Infrastructure 50.85 acre 29-12-2008
Devpt Project Ltd
4) Asara Reality Venture 25.00 acre 05-01-2009
Pvt Ltd
5) Ecoworld Infrastructure 20.64 acre 05-01-2009
Ltd (RMZ Group)
6) Haaas Corporation Ltd 2.5 acre 09-03-2020
Total land 266.84 acre