The government has once again extended relief to defaulters of the Improvement Trust, granting them waivers on interest and penalties accrued on outstanding installments and Non-Construction Fees (NCF). According to a notification issued by the Department of Local Bodies in this regard, a One-Time Settlement Policy—originally introduced in April of last year—has been granted a one-month extension. This has been confirmed by Chairman Tarsem Bhinder. He stated that individuals can apply until April 30 to avail of the waiver on interest and penalties associated with their outstanding installments and NCF dues. The Improvement Trust will issue demand notices to these applicants by May 15, and the defaulters will be required to deposit the outstanding amount within one month thereafter.
**How the One-Time Settlement Policy Will Be Implemented**
– A waiver of up to 50 percent will be granted on Non-Construction Fees (NCF).
– For cases dating back 15 years or more, the NCF will be calculated at 5 percent of the property’s reserve price.
– Construction work must be completed within the subsequent two-year period.
– Senior citizens, women, defense personnel, and their legal heirs will receive an additional waiver of 25 percent.
– This decision—in accordance with the 2022 guidelines—will also apply to allottees (and their heirs) suffering from serious illnesses, as well as to government employees.
**Property Seizure Proceedings to Commence Upon Expiry of Deadline**
The government has clarified that this policy will not apply to properties that have already been seized due to their classification under the ‘defaulter’ category. Furthermore, proceedings to seize the properties of those who fail to deposit their outstanding installments or NCF dues by the stipulated deadline will be initiated.
