Managing Director and Chairman of Mantri Group- Sunil Mantri

Recently, the Bombay High Court asked Mantri to not to sell any property till next court orders and after this the Bombay High Court also appointed an official liquidator with an aim to took the possession on the properties of Mantri Group.

After coming in news or controversy; Sunil Mantri, the Managing Director and Chairman of Mantri Group resigned from the position of NAREDCO chairman. NAREDCO is an umbrella body of real estate developers.

When media tried to contact Mantri, so he confirmed that reports, but refused to provide any additional details. However; earlier it was report that Mantri has defaulted on sum of over Rs300 crore and after that all investors or creditors had appealed in the Bombay High Court with an aim to get the pending dues with an interest rate of 25 to 36 percent. According to reports, till now more than 60 investors and creditors had filed the cases against Mantri by stating that he has cheated on them as well as buyers and borrowers. According to reports now he will not be able to dispose any of his fixed assets which belongs from the company without court’s order.

However; a real estate developer from South Mumbai stated that in present property market is down and due to that developers are not able to pay back the loans and interests. Most of the real estate developers are launching the projects and with booking amount they are buying other properties. But if any plot comes under the under litigation, so it becomes very difficult to come out from that mess.

Image Credits : DNA

Recently, the State Government of Maharashtra has decided to extend the TDR for various urban conglomerates in all over the state, so that all development schemes can run smoothly even after imposing the land reservation bill. The Transfer of Development Right (TDR) is given by state government in return of land.

State Government of Maharashtra has imposed land reservation for the development of essential facilities such as; education, hospital, institutions, recreation centers and more. Now onwards after this decision, state government can acquire those reserved plots to lie give TDR to the owner of land. However; this TDR can be used for the construction of additional floors in a building and these additional floors can be sold in the market, so that land owners can get freedom from their dues. According to latest decision of state government, now government is free to acquire such reserved plots.

As per the statement of officials of Senior Urban Development Department, “In present, TDR is only available in Mumbai. State Government of Maharashtra has approved its extension of TDR for the urban conglomerate, as currently state government has no or very little funds because most of the available land are neither bought nor compensated and this is the main reason for delayed in several development projects. Allowing TDR will provide an opportunity for the development in upcoming urban localities”. According to Sunil Mantri, President of NAREDCO, an umbrella body of real estate developers; welcomed the decision of state government and government does not have money or resources to buy these reserved lands and due to that development of the region is stuck”. Now the main issue has been removed. Most of the Tier I and Tier II cities are witness for rapid development and urbanization. And due to that state government has changed the policies as per demand and new fabric.

In metro cities, lands are shrinking day by day and due to that TDR is great concept to get the vital land. Apart from that its win-win situation for land owners and state government because land owners will get the equal size of the virtual land and on the same time state government will use the actual land for further development without  spending a single penny.