The Union cabinet on Thursday once again deferred the real estate (regulation and development) Bill pending for approval since May last year, even as it approved new electronics policy, disinvestment of 10% paid up equity in the public sector major NMDC and decided to continue assistance to special plans for Bihar and also to backward regions of Odisha and Bundelkhand region.
The real estate bill, which the government wants to introduce in the winter session of parliament, seeks to regulate the real estate business. It provide a safety net to the home buyers by providing a jail term of three years and 10% of the cost for delay in completion of the project on the realtors, builders and developers.
The cabinet which met under the chairmanship of prime minister Manmohan Singh, however, approved the national policy on electronics which envisages establishment of the national electronic mission with industry participation to create an indigenous manufacturing ecosystem for electronics in the country, with a goal of US $400 billion turnover by 2020 and employment creation for two million people.
The real estate bill, which will come up now in the next cabinet meeting on November 1, seeks to set up a real estate authority, first of its kind in the housing sector, to regulate developers and real estate agents, requiring them to register with it and make disclosure of all projects before advertising them to attract customers. It prohibits any advance from the buyer without signing the sale agreement.
The proposed law mandates the developers or anyone engaged in the housing construction projects to disclose the carpet area, layout plan of the proposed apartments, structural design and plans for other on-site development and they cannot change plans or make any changes after the sale agreement is signed.
Assistance to Bihar
In order to keep Bihar chief minister Nitish Kumar in good humour, the union cabinet decided to continue the special plan for his state by allocating Rs1,500 crore, based on the enhanced level of cost of Rs9,985.54 crore of all existing projects, revised cost of existing projects, and the cost of new projects. It also decided to continue assisting Kalahandi-Bolangir-Koraput (KBK) districts of Odisha in 2012-13 by allocating Rs250 crore.
The cabinet also approved a grant of Rs1,400 crore to Bundelkhand region to mitigate drought conditions.
CCS clears 10,000 Russian anti-tank missiles for Army: A Rs1,200 crore proposal for procuring 10,000 anti-tank guided missiles for the Army from Russia was cleared by the Cabinet Committee on Security.
The CCS cleared the proposal to acquire Russian-origin 10,000 Konkurs-M anti-tank guided missiles for the Mechanised Infantry and Infantry battalions of the Army, sources said. The Konkurs-M are part of the weapon systems being procured by the force to augment the anti-tank arsenal in the Army.
The CCS had last week cleared the purchase of 25,000 Invar missiles for the T-90 tank fleet under a Rs2,000 crore proposal.
— With Agency inputs