10-Oct-2019 22-Oct-2019

CREDAI Bengal Daily News Update | 22.10.19

WEST BENGAL NEWS

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Newspaper/Online The Economic Times

Date October 21, 2019

OTHER NEWS

Bank workers to go on strike as talks with govt fail; operations of

these five PSU banks will be hit

Bank Strike: The 24-hour strike called by AIBEA and BEFI is likely to hit operations of

five-six large PSU banks.

Two bank workers unions – All India Bank Employees Association (AIBEA) and Bank

Employees Federation of India (BEFI)- have decided to go ahead with the strike on Tuesday

after their meeting with chief labour commissioner in New Delhi failed on Monday. The

meeting was attended by two representatives each from the AIBEA and BEFI and one

representative from Indian Banking Association (IBA) and a deputy secretary-level official

from the finance ministry. However, the meeting failed to break the deadlock between the

government and the bank unions as they decided to go ahead with their one-day strike on

Tuesday against the single issue of their opposition to the merger and consolidation announced

by the Modi government in August this year.

―Our strike is mainly against the merger,‖ said SP Sharma, President of Delhi State Bank

Employee Federation, affiliated to AIBEA.

Representaives of the Union government and Indian Banking Association (IBA) tried to

persuade the members of AIBEA and BEFI but they refused to call off the strike. Last month,

four large bank officers associations have called off their strike following a meeting with

finance secretary Rajeev Kumar.

―We tried to explain them (representatives of AIBEA and BEFI) but they did not relent,‖ said a

source in the Indian Banking Association (IBA).

―The strike is on,‖ he told Financial Express Online.

The two bank unions – AIBEA and BEFI – supported by the left parties, have called for a one

day strike ahead of Diwali to register their protest against the Modi government‘s decision to

merge six PSU banks with four large ones.

The strike called by the AIBEA and BEFI is likely to hit operations in West Bengal due to their

strong support base in the region, a state ruled by the left government for 30 years before it was

unseated by Mamata Banerjee‘s Trinamool Congress in 2011.

Newspaper/Online Financial Express (online)

Date October 21, 2019

Link https://www.financialexpress.com/industry/banking-finance/bank-strike-news-bank-strike-today-bank-workers-to-go-on-strike-as-talks-with-govt-fails-working-of-these-banks-will-be-hit/1742042/

According to industry sources, while AIBEA is considered close to All India Trade Union

Congress (AITUC), BEFI is affiliated to CPM‘s Centre for Indian Trade Unions (CITU).

―The strike is likely to have an impact in the eastern part of India and West Bengal as these

worker‘s unions have a strong presence in the region,‖ said Ashwani Rana, General Secretary,

Delhi Pradesh Bank Worker‘s Organisation.

But in a big relief for bank customers, these two unions don‘t have a significant presence in

India‘s largest public sector bank – State Bank of India.

―We have a strong presence in almost all the banks except State Bank of India and Indian

Overseas Bank,‖ SP Sharma of AIBEA told Financial Express Online.

Services of five banks likely to hit

According to industry sources, operations of at least five banks – Oriental Bank of Commerce

(OBC), Indian Bank, United Bank of India, UCO Bank and Kolkata based Allahabad Bank will

be hit.

According to the merger plan announced by finance minister Nirmala Sitharaman in August this

year, Oriental Bank of Commerce (OBC) and United Bank of India will merge with Punjab

National Bank. According to the banking industry sources, the operations of these two banks,

along with PNB, are likely to be hit as the strike is called on a single issue to protest the merger

announced by the Modi government.

Two other banks – Indian Bank and Allahabad Bank – that are likely to be affected by the

Tuesday‘s strike is also in the Modi government‘s merger list. Indian Bank and Allahabad Bank

will merge and due to the sizeable presence of AIBEA members in Kolkata based Allahabad

Bank, the operations of these two banks are also likely to be affected.

According to banking industry sources, BEFI has a strong presence in Uco Bank and its

operations are also likely to be hit. Sources in the IBEA claimed that the one day strike will

have an impact on all India level except SBI and Indian Overseas Bank.

____________________________________________________________________________________

Weak consumer sentiment may dampen festive mood for real estate

firms

Notwithstanding the weak outlook, builders have thrown open a range of offers and

discounts

Consumer confidence had dipped to a six-year low in September

Real estate firms are likely to see tepid sales during the festive season, despite several

developers expecting a revival in demand for housing units.

While builders in Mumbai, the National Capital Region (NCR) and Bengaluru have lined up

special offers to entice homebuyers during the festive months—October to December—analysts

and brokers expect little improvement in home sales, given the poor market sentiment.

―We can look forward to a minimum housing sales increase of 5-7% in the upcoming Q4 2019

(calendar year)—which nevertheless is still far below the increase of 20-25% witnessed during

the boom years," said Anuj Puri, chairman, ANAROCK Property Consultants Ltd, a real estate

advisory firm.

Consumer confidence had dipped to a six-year low in September as sentiment around

employment, income and discretionary spending declined, according to the Reserve Bank of

India‘s (RBI‘s) monetary policy published on 4 October.

As per the survey conducted across 5,192 households in 13 major cities by the central bank,

sentiment for discretionary spending weakened even though people‘s expenses on essential

items remained strong.

Notwithstanding the weak outlook, builders have thrown open a range of offers and discounts.

Bengaluru-based Brigade Group is giving away a free iPhone with every purchase of a housing

unit for four of its residential projects. It is also giving straight discounts of ₹1-2.5 lakh for

some projects.

Diwali offers by other smaller firms, such as the Siddha Group, include discounts of up to ₹19.5

lakh in one of the residential projects, and zero-floor charges for other projects.

―As compared to last year, this year‘s festive season comes amid a very different situation.

While the industry faces even more fiscal challenges, there have been specific positive moves

by the government. So, we expect this festive season to be better as compared to the previous

year. Sales uptick is expected to be compounded with festive sentiments," said Niranjan

Hiranandani, founder and managing director, Hiranandani Group.

Newspaper/Online Live Mint (online)

Date October 22, 2019

Link https://www.livemint.com/industry/infrastructure/weak-consumer-sentiment-may-dampen-festive-mood-for-real-estate-firms-11571684608664.html

As per ANAROCK, home sales declined 18% year-on-year to 55,080 units during July-

September in the top seven cities, hit by a ban on subvention schemes and excessive rainfall.

Real estate firms have been pinning their hopes on improved sentiment during the festive

season, especially on the back of recent measures announced by the government, including the

cut in corporate tax and creating of separate stressed funds. ―There is going to be a lot of push

by builders to sell their inventories as customer advances are the only way to fund projects at

this moment. My own anticipation was about 20% sales over last year. But given the ongoing

slowdown in the economy, I would expect only about 10% improvement," said Pankaj Kapoor,

managing director, Liases Foras.

However, other analysts expected flat volume sales or a marginal decline during the October-

December period. According to an ICICI Securities report, overall industry volume is likely to

remain flat except for a few select organized developers. However, ready-to-move-in projects in

the mid-income and affordable housing segments are likely to get strong interest among

homebuyers this festive season, said developers.

―Apartments which are completed are gaining a lot more interest among homebuyers as GST is

not applied on these homes. We definitely look at this Diwali season to be one of the times

when people make decisions," said Boman Irani, chairman and managing director, Rustomjee

Group. ____________________________________________________________________________________

All PMAY-U houses will be occupied by beneficiaries by 2021:

Housing Minister

The minister said the government has so far sanctioned around 90 lakh houses which are

being funded by the ministry and the number will go up to 1.12 crore houses in six

months, a target set under the PMAY(U).

All the 1.12 crore houses being constructed under the Pradhan Mantri Awas Yojana (Urban)

will be occupied by beneficiaries by early 2021, Union Housing and Urban Affairs

Minister Hardeep Singh Puri has said.

The minister said the government has so far sanctioned around 90 lakh houses which are being

funded by the ministry and the number will go up to 1.12 crore houses in six months, a target

set under the PMAY(U).

He exuded confidence that the Modi government will achieve the target well before the

deadline of 'Housing for All by 2022' Mission as the work is on full swing.

"By March 2020, all the 1.12 crore houses will be sanctioned and 75 lakh houses will be

grounded. Fifty lakh houses will be completed and 40-45 lakh houses occupied by beneficiaries

in next five to six months.

"We are fully confident that by early 2021, all houses will be occupied by beneficiaries," Puri

told PTI in an interview.

According to the Union Housing and Urban Affairs Ministry which is mandated to implement

the ambitious scheme of Prime Minister Narendra Modi, 53.40 lakh houses were grounded a

few days back while 27.17 lakh houses have been completed.

24.75 lakh houses have been occupied by beneficiaries so far.

PMAY(Urban) has four components - 'Credit Linked Subsidy Scheme' (CLSS), In Situ Slum

Redevelopment (ISSR), Affordable Housing in Partnership (AHP) and Beneficiary Led

Construction (BLC) under which ministry provides central assistance to beneficiaries to

construct their own houses.

Puri said the government has so far released 18,458 crore credit linked subsidy to around 7.18

lakh beneficiaries.

"Around 13.94 lakh houses are being constructed using new technologies under Pradhan Mantri

Awas Yojan (Urban). Out of 18,458 crore credit link subsidy, 13,056 crore has been released

Newspaper/Online ET Realty(online)

Date October 21, 2019

Link https://realty.economictimes.indiatimes.com/news/residential/all-pmay-u-houses-will-be-occupied-by-beneficiaries-by-2021-housing-minister/71679961

for beneficiaries of EWS and LIG categories.

"Also, 5,401 crore subsidy has been released for middle income group (MIG)," the minister also

said.

Under CLSS, the Centre provides interest subsidy of up to around Rs 2.67 lakh on home loans

to individuals, which reduces the principal outstanding amount of the loan.

He also said that the government has so far approved 79,716 crore as central assistance under

the PMAY (U) and of this, 57,870 crore has been released.

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How to check the construction quality of your house

If you are a little careful you will be able to notice things which tell you about the

construction quality of a building.

Living in an unsafe building is not what you would ever want to do. So, it is sensible to be on

the safe side and do a quality check on the house you are planning to buy or have already

bought.

If you are a little careful you will be able to notice things which tell you about

the construction quality of a building. However, if you are not able to notice anything you still

need to ensure that the house you are buying is newly constructed.

There should not be any seepage or peeling plaster from the ceiling or walls. You also need to

check the elevators, fire system and if the building is earthquake resistant. Soil testing is done

before the construction begins so you can ask for a copy of the test from your developer.

RERA and structural defect liability

Section 14 of the Real Estate (Regulation and Development) Act, 2016, clearly lays down that it

is the promoter‘s responsibility to rectify any structural defect within a period of five years.

―A buyer can check the construction quality by looking at the paint and plastering on the walls,

installation of tiles on the floors and walls, water fixtures, sanitary installations, doors and

windows etc. He should check all these things before buying. Even if he has already bought the

property, he can bring it to the builder‘s notice,‖ says Praveen Jain, Vice Chairman, Naredco.

Here is a checklist for homebuyers:

1. Check the quality of the building material

2. Good construction ensures the safety of a building

3. Construction should be checked at the time of booking

4. Get the wet areas checked like bathroom, kitchen etc

5. Check for leakages and patches on walls

6. If a nail does not enter a wall easily that means its good

7. Check the slopes of floors so water flows into drains

8. Rub the plaster from the walls to assess quality

A building should be built using good quality construction material for its sustainability and

protection against damage due to water seepage.

Dr PR Swarup, director general, Construction Industry Development Council (CIDC) explains,

―You do not get oven fresh units even in new buildings because by the time you get possession

it is already old. Rusting sets in faster if the building is old, which is a dangerous thing for the

Newspaper/Online ET Realty(online)

Date October 21, 2019

Link https://realty.economictimes.indiatimes.com/news/residential/how-to-check-the-construction-quality-of-your-house/71689260

structure. Just like a human body, the structure‘s health should be diagnosed. If the construction

is poor even a new building can collapse but where construction quality is good, then even old

buildings can have a long life.‖

Swarup further says ―If a construction is ten years old the structure has already completed one

third of its life. Check the previous projects by the builder for construction quality assessment,

that is the easiest thing that can be done as a buyer. Check for leakages on the exterior or

interior areas. When you do a physical or visual inspection, you get some idea about the

construction quality of the project.‖

Apart from this, you also need to be aware of the nearby construction activities which may

damage your building. Corrective measures can be taken on time to avoid future problems. It is

important to ensure that wet areas do not have any seepage, leakages or water flowing into

walls. Ignoring these signs may weaken your building‘s quality and sustainability.

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AAI plans to monetise over 750 acres of land near eight major

airports

The Airports Authority of India (AAI), which works under the Ministry of Civil Aviation,

owns and manages 129 airports across the country, out of which 94 were running in loss in

the financial year 2017-18.

The AAI is planning to monetise 759 acres of land near eight major airports so that private

companies are able to establish warehouses, hotels or restaurants, and the money generated is

utilised to develop airport infrastructure, a senior official said.

"The AAI has identified the following land parcels of airports for city side development: 145

acres near Kolkata airport, 45 acres near Amritsar airport, Bhubaneswar airport, 35 acres near

Jaipur airport, 60 acres near Varanasi airport, 217 acres near Lucknow airport, 80 acres

near Raipur airport and 117 acres near Tirpuati airport," a senior AAI official told .

"All the above land parcels are located at respective airport sites only...The non-traffic revenue

thus generated (from land monetisation) shall be utilised for the airport infrastructure

development in unconnected and under-served areas" the official clarified.

The Airports Authority of India (AAI), which works under the Ministry of Civil Aviation, owns

and manages 129 airports across the country, out of which 94 were running in loss in the

financial year 2017-18.

"The (aforementioned) land is likely to be leased to any company or organisation for a period of

25-30 years for a fixed annual rental income," the official said.

The revenue generated from such land monetisation is classified as non-aeronautical revenues

or non-traffic revenues.

The AAI is in the process of monetisation of its city side land as per the AAI Act for "planning,

development, construction and maintenance of institutions/training centres, workshops, hotels,

restaurants and rest-rooms, warehouses, cargo complex catering to the needs of passengers and

air traffic services", the official noted.

The study of demand assessment and financial viability of some of the aforementioned land

parcels is complete and the tenders for each one of them would be issued soon, the official said.

On June 27 this year, Civil Aviation Minister Hardeep Singh Puri had talked about this plan to

monetise land of the AAI in Lok Sabha.

Newspaper/Online ET Realty(online)

Date October 21, 2019

Link https://realty.economictimes.indiatimes.com/news/infrastructure/aai-plans-to-monetise-over-750-acres-of-land-near-eight-major-airports/71687892

In a reply to a question, he had said in his written answer, "In order to enhance the non-

aeronautical revenue potential of its land assets and to further improve passenger facilities and

convenience at its airports, AAI is in the process of monetisation of its city side land by

developing training centres, workshops, hotels, restaurants and restrooms, warehouses, cargo

complex to the extent permitted under the provisions of AAI Act."

Last year, the government had decided to privatise airports in Lucknow, Ahmedabad, Jaipur,

Mangaluru, Thiruvananthapuram, and Guwahati for operation, management and development

through the public-private partnership (PPP) model. In February this year, the Adani Group won

the contract for all the six airports.

The government plans to use the revenues earned from privatising airports into developing

airport infrastructure in unconnected and under-served areas.

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Goa: Few takers for 'Mundkarache Ghar' scheme

Sagar Verlekar, assistent director, Tribal welfare department, said that the department

had received hardly any applications for the scheme.

Tribal welfare department assistant director Sagar Verlekar said that the ‗Mundkarache Ghar‘

scheme, introduced five years ago to provide financial assistance for the purchase of a dwelling

house under the Goa Daman and Diu Mundkar Act 1975, had received a ―poor response‖.

He was speaking at a function organised to create awareness among the tribal community on

various tribal welfare schemes. Verlekar said that the department had received hardly any

applications for the scheme.

―There may be many mundkars belonging to the scheduled tribes community who have not

exercised their right to purchase a mundkarial dwelling house due to their poor financial

condition. The scheme provides for financial assistance of upto Rs 30,000 for the purchase of

the house, once the purchase price is determined by the mamlatdar,‖ Verlekar said.

Advocate John Fernandes who spoke on the provisions of Mundkar Act and Tenancy

Act highlighted how mundkars face difficulties in carrying out repair/renovation of their

dwelling house if it is not owned by them. Fernandes said that lack of awareness among tribals

about the scheme prevents them from availing the benefits.

―The purchase price is determined as per the land rates prevailing in 1975; when the Mundkar

Act came into force. Thus, the price is affordable and many mundkars prefer outright purchase

compared to tedious paperwork under the scheme,‖ Fernandes said.

______________________________________________________________

Newspaper/Online ET Realty(online)

Date October 21, 2019

Link https://realty.economictimes.indiatimes.com/news/residential/goa-few-takers-for-mundkarache-ghar-scheme/71680117

Ready apartments form 12% of total unsold homes in top seven

cities: Report

The maximum ready stock is in the affordable segment priced below Rs 40 lakhs, followed

by mid-segment homes. The luxury segments have the least ready stock.

The rising preference for ready apartments to avoid uncertainty over delivery has resulted in

lower proportion of such units in the overall inventory levels. Out of total 6.56 lakh unsold

apartments across top 7 cities, around 12% or 81,300 are ready-to-move-in homes, showed data

from ANAROCK Property Consultants.

The maximum ready stock is in the affordable segment priced below Rs 40 lakhs, followed by

mid-segment homes. The luxury segments have the least ready stock.

―Homebuyers seeking ready-to-move-in properties in the ongoing festive quarter are spoiled for

choice,‖ said Anuj Puri, Chairman, ANAROCK Property Consultants. ―"Among the top 7

cities, MMR has the maximum ready unsold stock equalling nearly 21,000 units, followed by

NCR which has nearly 16,800 unsold ready units and Pune with 14,260 ready units.‖

Nearly 35% of the total 81,300 unsold ready units are in the affordable bracket priced below Rs

40 lakhs. Mumbai Metropolitan Region (MMR) and Pune have the maximum ready affordable

stock with 9,730 units and 5,990 units, respectively.

In the mid-segment with homes priced within Rs 40-80 lakhs around 26,180 units or 32% of

unsold stock is ready-to-move-in. Bangalore, Pune and NCR have the maximum ready units in

the mid-segment. Nearly 20% or around 16,290 ready unsold units in the top 7 cities are priced

within Rs 80 lakhs to Rs 1.5 crore. MMR, NCR and Pune collectively have more than 10,170

ready units in this budget range.

Nearly 10,000 units across top 7 cities are in the luxury and ultra-luxury segments priced above

Rs 1.5 crore, the data showed. MMR and NCR have maximum ready unsold stock in the luxury

and ultra-luxury segments. Together, they account for nearly 66% of the total 10,000 available

ready units.

________________________________________________________________

Newspaper/Online ET Realty(online)

Date October 21, 2019

Link https://realty.economictimes.indiatimes.com/news/residential/ready-apartments-form-12-of-total-unsold-homes-in-top-seven-cities-report/71683881

Delhi: About 2,800 Kathputli Colony residents soon to shift in flats

by December

According to the Union Housing and Urban Affairs Minister, around 2,800 families will

be provided flats being constructed on public-private partnership model.

Residents of Kathputli Colony, who are currently residing in a transit camp, will soon be

shifted to 'pucca' houses as three residential towers will be ready for their use by December,

Union Minister Hardeep Singh Puri has said.

Puri and Lt Governor Anil Baijal had laid the foundation stone for Kathputli Colony in-situ

slum redevelopment project in west Delhi in April 2018.

According to the Union Housing and Urban Affairs Minister, around 2,800 families will be

provided flats being constructed on public-private partnership model.

"The work on Kathputli Colony redevelopment project is in full swing. We will soon start

allotting flats to 2800 families.

"By December this year, the three under-construction residential towers will be ready for use,"

the Union minister told .

As per rough estimate, around 500 families will be shifted to these three towers.

He said there were some issues including electricity and others, which have now been sorted out

by the Delhi Development Authority (DDA).

Besides residential units, the project plan includes community spaces, a police post, weekly

market, retail outlets and a designated area for wedding ceremonies.

Kathputli Colony was home to a large number of puppeteers, magicians, singers and musicians.

In September 2009, the DDA had taken over the site as its first in-situ redevelopment project on

PPP model and the residents were shifted to a transit camp.

Shifting of families from the colony to the transit camp in Anand Parbat had been initially faced

with resistance over the years.

The project is being executed with the help of a private developer, who in turn will get a

substantial part of land for commercial use as part of the project.

Newspaper/Online ET Realty(online)

Date October 21, 2019

Link https://realty.economictimes.indiatimes.com/news/residential/delhi-about-2800-kathputli-colony-residents-soon-to-shift-in-flats-by-december/71679983

In November 2017, the court had allowed the DDA to demolish the slums of those residents of

Kathputli colony who were eligible for relocation and had moved out voluntarily.

________________________________________________________________

UltraTech Cement to invest Rs 940 crore for increasing production

capacity

UltraTech completed the acquisition of Century Textile's cement business, with the

scheme of demerger becoming effective from October 1, 2019.

Leading cement maker UltraTech Cement Ltd on Monday said it has plans to invest Rs 940

crore to increase the production of premium products for strengthening its position in eastern

markets. The board of the Aditya Birla group has approved expansion of grinding capacities

in Bihar and West Bengal and to open a grinding unit in Odisha.

"The board at its meeting held today approved capex of Rs 940 crore for making premium

products with an increase in its grinding capacities in Bihar and West Bengal by 0.6 mtpa

(million tons per annum) each and a new grinding unit of 2.2 million tonne in Odisha,"

UltraTech said in a statement.

All plants will be commissioned by the first quarter of 2021.

It further said, "This will further strengthen the company's position in the eastern markets".

UltraTech completed the acquisition of Century Textile's cement business, with the scheme of

demerger becoming effective from October 1, 2019.

With this acquisition, UltraTech's cement manufacturing capacity stands augmented to 117.4

mtpa, including its overseas capacity, the company said.

"This makes UltraTech the third largest cement company in the world, outside China. It is also

the only company in the world to have a capacity of over 100 million tonne in a single country,

outside China," it added.

Moreover, it has also fully integrated UltraTech Nathdwara Cement (formerly Binani Cement)

with UltraTech systems and processes.

UltraTech Cement had acquired the Rajasthan-based firm (Binani Cement) in November, 2018

through its offer of Rs 7,950 crore. It had also acquired 21.2 mtpa cement capacity from

Jaiprakash Associates in June, 2017.

________________________________________________________________

Newspaper/Online ET Realty(online)

Date October 22, 2019

Link https://realty.economictimes.indiatimes.com/news/allied-industries/ultratech-cement-to-invest-rs-940-crore-for-increasing-production-capacity/71697463

Mutual funds object to securitisation deals by DHFL

“In the recent meeting, mutual funds raised objection to ₹1,000 crore portfolio securitised

by DHFL in the past one month,” said the official who had knowledge of the meeting.

Negotiations on the Dewan Housing Finance Corp. Ltd (DHFL) debt resolution plan seem to

have hit a roadblock. Mutual funds have objected to securitisation deals undertaken by DHFL

since the company‘s repayments woes began, said three people with knowledge of the matter.

While the mutual funds have taken a 70% mark-to-market loss on their exposure to DHFL, they

alleged at a recent meeting that bankers are buying DHFL‘s retail portfolio piecemeal to avoid

haircuts, said one of the people cited above. They have asked the banks to stop any further

securitisation deals for the ₹35,000 crore retail portfolio on the books of the non-bank lender.

―In the recent meeting, mutual funds raised objection to ₹1,000 crore portfolio securitised by

DHFL in the past one month,‖ said the official who had knowledge of the meeting. ―There were

also issues raised on a ₹3,000 crore loan takeover by a large state-owned bank in September

quarter.‖ This was likely a reference to Bank of Baroda acquiring DHFL loans against its

exposure to the company.

Inter-creditor Agreement

DHFL, which owes the financial system at least Rs 1 lakh crore, started facing redemption

pressure soon after Infrastructure Leasing & Financial Services (IL&FS) defaulted on payments

last year. Banks, mutual funds and insurance companies are trying to resolve DHFL‘s debt

under the Reserve Bank of India‘s June 7 framework for stressed asset resolution.

Newspaper/Online ET Realty(online)

Date October 21, 2019

Link https://realty.economictimes.indiatimes.com/news/allied-industries/mutual-funds-object-to-securitisation-deals-by-dhfl/71685039

But they have hit an impasse as several mutual funds have refused to sign the inter-creditor

agreement, which is key to the resolution plan.

―How is it fair that, while we have already taken a 70% hit on our exposure to DHFL, banks

continue to keep it as a standard account, don‘t bear the provisioning hit and make money

through securitisation deals — this has to stop,‖ said another person involved in the discussions.

The Bombay HC has restrained DHFL from making any further payments or disbursements to

creditors following a plea by mutual funds, which collectively own almost 10%, or close to

₹5,000 crore, of the total DHFL debt.

ET reported October 19 that the banking regulator had rejected a proposal by banks that would

have allowed them provisioning relief to the tune of ₹6,000 crore.

_______________________________________________________________

Andhra Pradesh government allots special sand reach in

Vizianagaram

The government has also decided to resume mining in two sand reaches in Srikakulam

district.

The state government has allotted a special sand reach in Denkada in Vizianagaram district to

restore the supply of sand in the urban areas of Visakhapatnam district. Large parts of this

region have been reeling with a sand shortage for several months now. This had stalled

construction activity in the area and had led to job losses.

The government has also decided to resume mining in two sand reaches in Srikakulam district.

Sand obtained from these mines will also cater to the urban parts of Visakhapatnam district.

Speaking to TOI, a senior government official said, ―Once the flood water recedes, we can

expect an adequate supply of sand. If everything goes according to plan, we can expect enough

sand supply after Diwali to meet demand.‖

According to realtors, the government‘s efforts towards resolving the problem will help them

resume construction work. ―Diwali is a good time for us as many people look to buy property

around this time. We are hopeful that if the projects resume now, we will get a good response,‖

said Kotteswara Rao, a realtor.

The urban parts of Visakhapatnam have the highest demand for sand in Andhra Pradesh.

The decision to allot a special sand reach and resume mining in others was taken by municipal

administration minister Botcha Satyanarayana in a meeting held in early October. Tourism and

culture minister Muttamsetti Srinivasa Rao, other MLAs and senior government officials were

part of the meeting.

According to officials, the state government‘s new sand policy coupled with the floods led to a

decrease in sand supply. As a result, over 2,000 projects in Visakhapatnam have been stalled

and more than six lakh construction workers have lost their jobs.

On an average, Vizag requires at least 300 truckloads (4,500 tonnes of sand) every day.

Currently, only 60 truckloads of sand are being supplied to the city.

―Once things are in place, over 1 lakh cubic tonne of sand will be available every month,‖ an

official said.

Meanwhile, Jana Sena chief Pawan Kalyan is slated to hold a demonstration in Visakhapatnam

Newspaper/Online ET Realty(online)

Date October 21, 2019

Link https://realty.economictimes.indiatimes.com/news/allied-industries/andhra-pradesh-governmet-allots-special-sand-reach-in-vizianagaram/71681690

on November 3 protesting the scarcity of sand. Addressing a political affairs committee (PAC)

meeting at Hyderabad on Sunday, Kalyan said lakhs of construction workers have lost their

livelihoods owing to the scarcity of sand.

He further said that a number of allied industries are also facing difficulties owing to the

shortage of sand.

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