The relief comes even as 100 employees lost their lives during the years-long legal battle.
Dharmender Shastri, General Secretary of the UT employees housing scheme association, told The Indian Express, “We are highly grateful to the court for granting us a relief.
The scheme was launched by the Chandigarh Housing Board (CHB) in 2008 to construct apartments for the employees.
The employees then deposited around Rs 57 crore with the CHB under the scheme.
The employees then moved the high court alleging that the CHB was charging five times the initial price for land.
After sixteen years of battle, finally, 3,930 employees of Chandigarh administration got a relief from the Punjab and Haryana High Court on Thursday as the latter ordered land of dwelling units be given on the “brochure rate” as promised by the Union Territory in 2008. The relief comes even as 100 employees lost their lives during the years-long legal battle.
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The court ordered that the construction rate be charged as per present rates but the land be given to the employees as per the brochure rate. With this, the employees will get the same at the cost of Rs 7,920 per square yard (brochure rate) which the UT had told the court is available for Rs 74,131 per square yard now.
Dharmender Shastri, General Secretary of the UT employees housing scheme association, told The Indian Express, “We are highly grateful to the court for granting us a relief. The decision has just been pronounced. The orders will be out by evening. The bench ordered that we will get land rates as per the brochure rate while the cost of construction shall be as per the current rate.”
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He added, “We wish the 100 employees who were in this fight with us but lost their lives could have seen this moment.”
A senior UT officer of the Chandigarh administration confirmed the development.
The scheme was launched by the Chandigarh Housing Board (CHB) in 2008 to construct apartments for the employees. As many as 3,930 applicants were selected through a draw of lots in 2010. However, they were not given any possession as the construction never took off. In the meantime, the cost of each dwelling unit rose manifold.
Earlier this year, the UT had filed a status report in the Punjab and Haryana High Court in the form of an affidavit informing that the scheme was not feasible and the same be closed.
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The affidavit by the Chandigarh administration had said, “The present status report by way of affidavit is being filed to apprise this court about the decision of the Chandigarh administration to not go ahead with the UT Employees’ Self-Financing Housing Scheme, 2008, and consequently refund the money deposited by the petitioners and other applicants.”
Meeting with Union ministry didn’t yield results
The high court had on a petition filed in 2019 by the employees asked the Chandigarh administration to submit the status report on the housing scheme. The employees, that is, the petitioners had demanded that the flats be allotted at the same rates as was promised in 2008. The CHB, however, estimated that the rates had increased five times.
In 2020, a meeting was also held with the Union Home Ministry officials through video conferencing but nothing conclusive later materialised.
The brochure rates
3 BHK – Rs 34.70 lakh (category A)
2 BHK- Rs 24.30 lakh (category B)
1 BHK- Rs 13.53 lakh (category C)
One room- Rs 5.76 lakh (category D)
The present construction rate will add on to the existing brochure rates and now, a 3 BHK accommodation will cost Rs 40 to 45 lakh, a 2 BHK accommodation will cost approximately Rs 35 lakh, a one BHK accommodation will cost between Rs 25 lakh and Rs 30 lakh while a one room accommodation will cost Rs 15 lakh.
Present rate of apartments as per Chandigarh administration
3 BHK- Rs 2.08 crore
2 BHK- Rs 1.64 crore
1 BHK- Rs 1 crore
One room- Rs 50 lakh
About the scheme
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In 2008 as many as 4,000 flats were to be built in Sectors 52, 53, and 56 by the CHB for government employees as a part of the housing scheme launched that year.
Thereafter, in 2010, a draw of lots was conducted for allotment of houses whereby 3,930 employees among 7,827 applicants were selected. The employees then deposited around Rs 57 crore with the CHB under the scheme. Later, the scheme was shelved.
Why did the rates of the apartments shoot up
Due to the delay in the entire process, the cost per unit shot up to Rs 2.08 crore for category A, Rs 1.64 crore for category B, Rs 1 crore for category C, and Rs 50 lakh for category D.
The inflated costs were not acceptable to the employees, because when the scheme was announced, the rates were much lower. The employees then moved the high court alleging that the CHB was charging five times the initial price for land.
