Noida Authority begins financial audit of builders' projects

Noida: In order to end the buyer-builder impasse and help those aggrieved investors get their homes, the Noida Authority has expedited the financial audit of various errant developers in the area who have failed to deliver flats to home buyers on time.

Officials said that audits will be completed by the beginning of January next year, report of which will be submitted to the Chief Executive Officer of Noida authority by January 10.

"The audits are covering accounts and construction status, including other aspects that are required to determine as to why the builders have failed to finish projects despite collecting funds from homebuyers" said a senior official from Noida authority.

The authority also is planning to act tough against the defaulting builders who have made home buyers suffer.

The authority is focusing on the fact that nothing is done wrong to the home buyers.

"Once a report is submitted to the CEO, a list of such builders who have cheated home buyers and have diverted funds into some other projects or businesses will be prepared. Strict legal actions will be followed against such builders. The authority will also black list such builders" the official warned.

Sources also say that the names of some senior authority officials can also be revealed in the audit report, who have been actively helping the builders in investing the money collected from buyers in other new projects.

Home buyers, for a long time, have been demanding forensic audit of each errant builder's accounts.

The home buyers have alleged that the builders have diverted their hard earned money into other businesses or realty projects in the wake of which the authority ordered to probe the alleged diversion of funds.

The diversion of money by the builder to start new projects instead of investing them in the complexes for which they had got the funds, has resulted in delaying the projects by four to eight years in area, hence making the home buyers suffer.