A Brief history of the Palm Beach Residency Project by Wadhwa on Palm Beach Road, Nerul, Navi Mumbai
Everyone who is looking to buy Real estate in Navi Mumbai has come across the Palm Beach Residency on Palm beach road, Nerul, Navi Mumbai (New Bombay), Maharashtra, at one point or the other, but very few are aware of the history behind one of the most extravagant projects in Navi Mumbai.
Here is a brief timeline of events…
Year 1994
Cidco (the government agency responsible for all land related issues and transactions in Navi Mumbai) allots 7 land plots in a prime waterfront area of Nerul at a concessional rate to 7 co-operative housing societies. Some with ingenious names like Sea Queen, Sea View, Amey, Sagarika, Sea Link and Vinayak.
On the surface it looked like a legitimate deal, but like all things in India, a little scratch below the surface revealed the true nature of the deal. The so called \’housing societies\’ were nothing but totally fraudulent entities, created by Mr.Vijay Wadhwa of Wadhwa developers along with so called \’leaders\’ of the Mathadi workers union, who got poor sections of their organisation (mathadi workers union), to become members of these fraudulent societies, with the sole intention to defraud the government by subverting and compromising the system and in the process, enriching himself and his co conspirators by more than Rs.35 crores (US dollars 70 million), as plots allotted to \’housing societies\’ are allotted at a discount to the market price.
The going market rate then was approximately Rs.21,000 per square meter.These societies were alloted the same land at Rs.10,500 per square meter. The total area involved was Rs.37,000 square meters (3,98,000 square feet).
Mayur Panghaal (Owner – Sky Properties)
Once he gained control of the land with active collusion of the then Chief Minister-Sushil Kumar Shinde, who signed on the absolutely identical and undated applications from the different fraudulent housing societies, writing \’Please put up\’, without as much as even bothering to check who or where these housing societies arose from. The least he could do was at least raise an eyebrow as to how absolutely similar computer printouts were sent as applications.
Palm Beach Residency
Later, this scam was unearthed by the Public center for governance trust, headed by ex commissioner Julius Ribeiro and others and pursued via a case in the courts. Wadhwa ended up losing the case in the high court of Mumbai and took the case to the Supreme court where he \’managed\’ the system and got the verdict in his favor, even though the court agreed that it was a fraudulent deal.
Wadhwa was lucky that he could manage the system back then cause if it were to happen in the vigilant times and anti corruption sentiment we live in today, he could\’ve said goodbye to his project.
But as is the fate of this country, most of the swindled money is probably sitting in an off-shore account somewhere in Cayman islands or Switzerland, ready to come in as FDI into India or into the share market as an FII investment via Participatory notes. Black money out, washed money in. Its a beautiful thing.
Important Update (10.7.2013)
Wadhwa builders have not submitted the building plans according to which they have completed the construction. This could mean that the plans submitted to NMMC differ from what has actually been constructed.
Application for OC was not accompanied by signatures of the land owners.
No clearance has been obtained from the NMMC health department.
Since the building falls under CRZ -2 area, approval will have to be obtained from the NCZMA (Maharashtra Coastal Zone Management Agency). Unless the CRZ laws are changed, any change in the OC status looks impossible.
For laws to change, they have to be amended by the Parliament or the state assembly., which again looks impossible.
Palm Beach Residency Swimming Pool and Basketball Court
Important update 6-8-2013
Original Allottees of the plot are no more traceable !
It has now come to light that Palm beach residency (Wadhwa Group) is facing serious issues regarding the legality of the project as it (Wadhwa group) did not obtain clearances from the environment ministry as if falls within 500 meters of the coastal line and hence violates the CRZ act. This has resulted the the project not receiving an occupancy certificate and hence no water or electricity connections from the Municipality (the builder has managed temporary connections for now). Not receiving and occupancy certificate also means double the property taxes, no water supply, no electric supply. What is most astonishing is the fact that 80 families are staying in the towers even though it does not have an Occupancy Certificate. Currently, water is being supplied by Water tankers. It is also a violation of the Town Planning act to stay in a building without an Occupancy Certificate. Whether the builder has obtained permission to operate the lift is also under question.
Further legal complications can be expected if someone goes to court over this or files an RTI and the Municipal officers are forced to evict the current occupants. Also, it has come to light that the building has 4 automatic elevators but only 1 is operational. This may be due the the fact that the permission to operate the lift has not been obtained from the NMMC. The developer has taken 1 years maintenance in advance from the buyers.
Copy of the RTI is shown below…
RTI information about Palm Beach Residency
In another surprising development, the architects of Palm beach residency, Hiten Sethi and Associates (Architects),have submitted a letter (shown below) as a follow-up to the letter above. Interestingly, Hiten Sethi and Associates have stated that they have acquired \’all the documents\’ necessary for the Occupation Certificate…but on closer scrutiny of the letter it shows that the only thing they have managed to acquire is a \’health certificate\’ from NMMC. There is no mention of the signatures of the plot \’owners\’ (the founder members of Ameya, Sagarika and Sea Queen societies) to whom the plot was allotted. There is also no sign of the plans according to which the buildings have been constructed. This could mean that….
The original plot allottees of the plot are no more traceable or are demanding their pound of flesh.
The plans according to which the building has been constructed is different from the plans that were submitted for approval.
This only means one thing : Years of trouble ahead.
CONTACT US
Sky Properties, Nerul 9987452642
PRICING TABLE
Service provided by us
Charges
CIDCO Transfer only
15,000
Mortgage NOC only
15,000
CIDCO Transfer + Mortgage NOC
20,000
Only Drafting/Documentation
5,000
Drafting and Registration of Sale Agreement/Sale Deed
3.5 bhk for Sale in Army Complex, Sector 9, Nerul East, Navi Mumbai
Servant Room with separate entrance and attached toilet
Piped gas connection
Covered car parking
Built up area 1280 sq ft. Carpet area 1150 sq ft (Less Loading)
Vastu : Entrance Facing 117° South East
Interior work done
Covered Car Parking
2 High Speed Lifts
25 year old building
24 hrs water supply and Electricity
5 min walking distance from Railway Station
Opposite DY Patil Hospital
Prime Location
So called \’prime\’ projects like 19 east, Bhagwati Eminence and L&T have max carpet area of 750 sq ft…and are priced 3 cr and above. The carpet area of this flat is 1150 sq ft.
Price 3.10 crores Brokerage @2% (non-negotiable)
*Brokerage agreement will be signed with buyer before proceeding on this.
Photo Gallery 3 bhk for sale in Army Colony, Nerul
(3rd Room) Servant Room/Guest Room with completely separate entrance
Airy and well ventilated flat with sunlight through the day
7 min walk from Nerul Station
10 min walk from DY Patil Medical College
1 Elevator (Manual)
24 hr water and electricity
Entrance Facing North East
ATMs, Shops, DMart within 5 mins walking distance
Cool and Peaceful Locality surrounded by gardens and greenery (See pics)
Flat located on middle floor (Not Top floor or Ground Floor)
Fully Secure Complex with Security Cameras and Intercom
Families only
Flat can be viewed at short notice
RENT 60,000 (Fixed) DEPOSIT 3,00,,000 (Fixed) BROKERAGE : 1 month rent per year MAX CONTINUOUS RENT PERIOD : 5 years STAMP DUTY, REGISTRATION AND POLICE PERMISSION EXTRA
One often hears of great bargains offered by banks in repossessed/foreclosed properties. Although the offers are tempting, since they are offered at a 30-40% discount from market rates, one has to be careful while buying such properties/flats as many, if not all, have glaring shortcomings in their legal status. Many lack the proper building permissions and others lack permissions which are specific to Navi Mumbai.
CIDCO Role
Navi Mumbai was formed by acquiring land in the 1970’s by CIDCO, which was designated as the planning authority for Navi Mumbai. Villagers were compensated as per the land acquisition act and given adequate compensation along with land which they could sell in the open market to builders or build on it themselves. The scheme for such construction was called Sade Barah Takka (12.5%) GES (Gaothan Expansion Scheme).
Since CIDCO is the planning authority, it framed rules under Navi Mumbai Disposal of Lands Act and Navi Mumbai DIsposal of Land Rules. These rules also incorporated conditions for sale of flats/Shops/Land which defaulted on mortgage/loans taken from banks.
Documents Required
One should make sure that the following documents are in place before purchasing the Flat/Shop/Land:-Building permissions from CIDCO/NMMC (CC, OC, Sanctioned Plans) Society Formation/Registration Documents CIDCO Conveyance Documents of the Society CIDCO approved List of Members of the Society (This list is approved by CIDCO on its letterhead before the Conveyance application of Society is Processed by CIDCO. CIDCO Final Order in Favor of the Society Mortgage NOC obtained by defaulting owner from CIDCO NOC from society allowing the bank to repossess and sell the flat District Magistrate Court (Collector) Order for foreclosing the loan and repossessing the flat/shop issued under SARFAESI ACT and Rules NOC from CIDCO for selling the flats via Auction (To be obtained by the Bank from CIDCO) Once these documents are available, one can bid in the online auction of the bank.
Banks do not have adequate legal documents
Our experience shows that most banks do not display any of these documents online and they do not maintain any of the documents at the site of the flat/building. They lure buyers to their office on the pretext of showing documents. They will not allow you to take copies of the documents and will tell you to find out CIDCO approvals on your own.
This only means one thing : That the documents are not complete. Almost 100% of the banks do not have the CIDCO NOC for selling the flat. They lure buyers with false and fake promises and ‘as is-where is’ condition. And most of the people who do not have any knowledge of the process, end up buying a problem property and repent later.
After winning the bid/Auction
On winning the bid, the bank issues a certificate of sale (a letter on the letterhead of the bank stating that you have won the bid and paid the money)
Once the certificate of sale is issued, it is then registered along with a sale agreement at the Registration office of the Revenue Department. Stamp Duty on the Auction Price or the Ready Reckoner Rate (whichever in higher) has to be paid. Registration charges also have to be paid.
After that the winning bidder has to approach CIDCO with a full set of documents and affidavits and NOCs and obtain the CIDCO NOC for the sale. If the payment is without a loan or in one shot, then CIDCO will issue a Final order directly, or else one will have to obtain a CIDCO NOC for availing a bank loan after part payment, and then apply for a Final order after making the balance payment via Loan Disbursal.
Final order will have to be obtained from CIDCO after execution and registration of the Sale Deed.
Illegal terms and conditions imposed by banks/As-is-where-is pre-condition
In a new development, PNB bank sold a property worth crores via Bank Auction by making the buyer sign a ‘as-is-where-is’ clause. The High Court has ruled that all such clauses are illegal…and if there is any legal title issue pre-existing, the bank cannot shrug its responsibility on the basis of ‘as-is-where-is’ clause. PNB had to refund the entire amount. Remember : The buyer will have to pay twice the regular CIDCO Transfer Charges to CIDCO to obtain clear title to the property/flat/shop.
Copies of all documents are given below
CIDCO Final Order
We are sure this article saved you lakhs or probably crores of money as this information is not available anywhere.
Here's a structured guide to help you understand the process of name change in property and water bills in Navi Mumbai.
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Changing the name on your property tax and water bills is crucial for finalizing any property purchase in Navi Mumbai. This process is handled by the Municipal Corporation of Navi Mumbai and involves separate procedures for each bill.
I. Property Tax Name Change:
Procedure: Handled by the Navi Mumbai Municipal Corporation.
Cost (2025):Approximately Rs 210 per square meter (built-up area) for residential properties (flats).
Time: Approximately 1 month from the date of submission.
Forms: Given Below
II. Water Bill Name Change:
Procedure: This is done *after* the property tax name change is completed.
Cost (2025): Rs 800 for residential areas.
Time: Approximately 1 month from the date of submission.
Forms: Given Below
III. Important Considerations:
Location: The specific department handling the procedure may vary depending on the property's location within Maharashtra.
Timelines: The processing times are estimates, and actual processing times may vary.
Steps:
Submission of documents and application form along with document processing charge of Rs 50 Approval of documents and issue of demand note Payment of the Transfer Charge Submission of receipt as proof of payment Final Order issued
Contact us for all your Name Transfer and CIDCO Transfer requirements in Navi Mumbai
