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Uttar Pradesh

Performance Audit Report on “Land Acquisition and Allotment of Properties in NOIDA” in Uttar Pradesh (Report No. 6 of 2021)

Date on which Report Tabled:
Fri 17 Dec, 2021
Date of sending the report to Government:
Mon 22 Nov, 2021
Government Type:
State
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Sector Industry and Commerce

Overview

The Performance Audit on “Land Acquisition and Allotment of Properties in New Okhala Industrial Development Authority (NOIDA)”, the first of its kind, was undertaken in the backdrop of the fact that issues relating to development of NOIDA in close proximity to the national capital is of considerable interest to a variety of stakeholders.

The primary focus of the Performance Audit was on the policies and procedures adopted by NOIDA for land acquisition and allotment of properties under the Group Housing, Commercial (including Sports Cities), Institutional (including Farm Houses) and Industrial categories during the period 2005-06 to 2017-18. As a corollary, the preparation of Master Plans and pricing of properties were also scrutinised to bring out the scope for improvement in these areas.

The Report contains six chapters namely General, Planning, Acquisition of Land,  Pricing of Properties, Allotment of Properties and Internal Control. Chapter-I General describes entrustment of audit, audit objectives, audit criteria, audit scope and methodology. The other five chapters contain audit findings. Chapter-V Allotment of Properties is further divided in four sub-chapters namely Allotment of Group Housing plots, Allotment of Commercial plots (including Sports City plots), Allotment of Institutional plots (including Farm House plots) and Allotment of Industrial plots.

The findings of audit point to serious gaps in the governance structure of NOIDA which has translated in extremely poor outcomes for all the principal stakeholders viz. the Authority, State Government, industries and the public at large and specifically for the home buyers etc. There is evidence of a complete disregard of basic tenets of governance viz., adherence to public interest, accountability, transparency in decision making, ethics and integrity, to name a few. The Performance Audit Report is replete with instances of contravention of rules and orders, willful concealment of facts, etc. It brings out exercise of power beyond the remit of NOIDA and misuse and flouting of extant rules and orders. Absence of any internal audit led to unchecked violation of rules/orders and procedures as brought out in this Report. All of these translated into failure to achieve the objectives of NOIDA, distress for end-use stakeholders like home buyers who invested their life savings in schemes of NOIDA and losses to NOIDA and the Government involving thousands of crore of rupees.

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Last updated: 22 Nov 2024
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