The Punjab apartment and property regulation act, 1995

Presentation gives in brief the provisions of the The Punjab apartment and property regulation act, 1995 and Rules to explain the framework defined in the law to regulate the activities of the developers, colonisers, estate agents in developing colonies and building flats and making them accountable for quality, money, construction, approvals etc

1. The Punjab Apartment and Property Regulation Act, 1995 Jit Kumar Gupta Former Advisor( Town Planning) PUDA [email protected]

2. preamble An Act to regulate the; 1- promotion of the construction, sale, transfer and management of apartments on ownership basis, 2. to regulate colonies and property transactions and 3 to provide for registration of promoters and estate agents and 4. enforcement of obligations on promoters and estate agents and 5 for matters connected therewith or incidental thereto.

3. NEED AND OBJECTIVES To control activities of private builders and colonisers engaged in construction of apartments and sale of plots and fix their role and responsibility -- to ensure that flats are constructed as per specified norms and standards and specification -- to specify norms / standards of planning / development of colonies / provision of infrastructure as per approved plans --To ensure licensing of colonies and proper construction of flats - To ensure provision of appropriate level of basic amenities/ services -- to promote planned development of urban areas ---- to fully protect the interest/ rights of buyers of plots/flats -- to create a framework-- for ensuring larger role of private sector in urban development and Housing to create large housing stock and meet the objective of Housing for All. -- to provide for registration of the estate agents/developers - to make entire process of private development transparent and qualitative - to make urban development process self-financing - to create housing for EWS categories

4. DEFINITIONS “ Apartment” –- called block, chamber, dwelling unit, flat, lot, premises, suite, tenement -- a separate and self-contained part of any property, -- including one/ more rooms or enclosed spaces, located on one or more floors -- in a building/ plot of land--used / to be used for residence, office, shop, showroom, or godown or for carrying on any business, industry, occupation, profession or trade, --- with a direct exit to a public street/ road / highway -- includes garage/ room whether /not adjacent to the building -- provided by promoter for the use by allottee for parking / for residence domestic servant ; -- Association”-- an association of all apartment owners in a building acting as a group in accordance with the bye laws made by the association under the Punjab Apartment Ownership Act, 1995. “Building”-- a building constructed on any land, -- containing eleven or more apartments, --or two or more buildings with a total of eleven or more apartments, --or any exiting building converted into eleven or more apartments

5. DEFINITIONS “colony”--an area of land not les than one thousand square metres -- divided /proposed to be divided into plots for residential, commercial or industrial purpose, -- but does not include any area of abadi deh of a village falling inside its Lal Lakir or phirny --or any area of land divided/ proposed to be divided- -- ( i ) for the purpose of agriculture; or -- ( ii) as a result of family partition, inheritance, succession or partition of joint holdings not with motive of earning profit ;-- --( iii) by owner of a factory for setting up a housing colony for labourer/ employees working in factory; Provided that there is no profit motive:

6. Definition “ Internal development works ”— colony necessary for its proper development ; -- means roads, foot-paths, water supply, sewers, drains, tree, planting, street lighting, -- provision for community buildings and for treatment and disposal of sewage and sullage water, or -- any other work in a “ External development works ” -- includes roads and road systems, water supply, sewerage and drainage systems, electric supply -- or any other work -- which may have to be executed -- in the periphery of, or outside, a colony -- for its benefit ;

7. DEFINITIONS “-- development charges- cost of external development works and internal development works -- development works- means internal development works and external development works ; -- estate agent” --means a person who negotiates or acts on behalf of one person in a transaction of transfer of his property, -- whether by way of sale, lease, licence, mortgage or otherwise, with another person, and --receives remuneration for his services in the form of commission, and includes also a person who introduces to each other for negotiation such person or their agents ;

8. DEFINITIONS “(y ) “promoter’ means the person,- (a) who constructs or causes to be constructed a building consisting of apartments, or converts an existing building or a part thereof into apartments, for the purpose of selling all or some of the apartments to other person, and includes his assigns; or (b) who develops land into a colony, whether or not be also constructs structures on any of the plots, for the purpose of selling to other persons, all or some of the plots, whether open or with structures thereon; and (c) where the person who constructs or convert a building or develops a colony and the person who sells apartments or plot are different persons, the term includes both of them; Explanation,- (1) Any development authority / other public body so notified by the State Government Explanation,- (2) A person shall be deemed to be a promoter, even if,- ( i ) he styles himself as a builder, colonizer, contractor, developer, estate promoter (ii) holder of a power of attorney from the owner of the land on which building is constructed/colony is developed

9. DEFINITION ‘amenity’ includes— -- roads, water supply, street lighting, drainage, sewerage public parks , schools, hospitals, community centres and other community buildings, horticulture, land- scaping and any other public utility service

10. Papara-1995 Structure– Three parts Part-1 -- Regulation of Promotion of Construction, Sale, Transfer and Management of Apartments, Plots and Properties Part-2 —Registration of Promoters and Estate Agent Part-3 -- Miscellaneous

11. PAPARA-1995--- CHAPTER II Regulation of Promotion of Construction, Sale, Transfer and Management of Apartments, Plots and Properties

12. PAPRA- 1995 Sec3--General liability of promoters-- A promoter who develops a colony / constructs /intends to construct building of apartments shall make full disclosure -- nature of title of land /all encumbrances on land -- Approved layout plan of colony- Development works to be executed --Approved Building plan, specification, common areas/facilities/services- w/s, sewerage, drainage --display/keep the documents ,plans, specifications etc at site/office- making them available for inspection - disclose fixture, fittings, amenities to be provided --- Design of building and material to be used for construction --date by which possession of plot/building to be handed over - in case of number not allotted-prepare a list of persons agreed to take plot/land with details of money paid --Reserve 10% flats for EWS when number of apartments are 100 or more -- Reserve 10% of residential area for EWS when area of colony is 40 hect or mo -- not allow persons to enter unless occupation certificate is obtained --Pay taxes, ground rents, charges for water, electricity, interest, mortgage --Estimate cost of flat/plot- manner of escalation of cost to be paid --Provide true copies of the document on demand and payment of fee

13. PAPRA- RULES 3. Disclosure regarding design/ material to be used.- P romoter to disclose following particulars in respects designs / materials to be used in construction, namely :- ( a) In respect of design,- ( i ) Location Plan of the building; (ii) Design of the building and of the apartment; (iii) Elevation; (iv) Cross sections; and (v) Structural design; ( b) In respect of materials to be used in construction ( i ) foundation; (ii) super structure; (iii) flooring; (iv) roofing; (v) joineries; and (vi) electric and sanitary fittings.

14. Reservation for- ews apartments / plots 4. Person whose family monthly income-- does not exceed 2650 rupees / income limit fixed by CA based on limit, fixed by Planning Commission of India shall be- - deemed to be of EWS category (2) No EWS category person eligible for allotment if,- ( i ) he/ her spouse /minor child owns- -- - a residential plot/ building in UT Chandigarh -- Urban Estate Punjab -- colony developed under Punjab Regulation of Colonies Act, 1975 -- housing scheme of PUDA /local authority / Imp Trust ; --( ii) less than eighteen years of age -- -- constructed size of apartment shall not be less than 20 square metres an d more than 40 square metres and -- Plot- not less than 40 square metres and more than 90 square metres of plot -or as determined by CA - with prior approval of State Government.

15. Reservation for- ews apartments / plots 5 . Mode of allotment of reserved apartments and plot .- (1) Promoter to invite applications for allotment of apartments /residential plots -- by a public notice in at least two newspapers widely in circulation and file in office of CA (2) Applications received entered serially in a register (3) No incomplete application rejected -- -- defect found shall be got rectified (4) Promoter with approval of CA—determine eligible applicants for allotment of plots /apartment , (5) A llotment made by draw of lots under supervision of CA / any of its authorised person 6. Price to be paid for allotments for apartments and plots . – shall be at least 15% less than -- price fixed for other categories of persons -- - payable in instalments -- within period of minimum three years from allotment

16. PAPRA- 1995 Sec4— Issuing of advertisement/ Prospectus— No Advertisement/ prospects/offer of sale of plot/flat to be made unless; --Promoter hold a valid Registration under the Act --Copy of advertisement filed in the office of Competent Authority containing- title to land, area, cost, price payable, approved plans, copy of license, development works/specifications --Copy of advertisement available for inspection at site/office - Any person making deposit on the faith of advertisement liable to be compensated by promoter in case of any damage/loss --In case of untrue statement made- person issuing advertisement liable for fine of Rs 5000/- or imprisonment upto 1 year or both

17. - Development of land into Colony S 5- Development of land into Colony— -- To make an application on prescribed form with fee, documents - separate application to be made for each colony --CA to look into- title of land, extent/situation of land, capacity of promoter, layout plan, conformity with neighbouring area/ master plan,development works to be executed etc;- give an opportunity to promoter; consider report of the prescribed authority- pass order in writing granting approval/refuse to grant With reasons recorded License granted valid for 3 years- renewable on year to year basis with fee - Promoter to enter into agreement to pay proportionate EDC- as determined by the CA- TO Government/ULB --carry out development works and complete as per law in force --Promoter to construct / get constructed at his cost- schools, hospitals, community centres on land provided- or transfer land free of cost on payment of cost of developed land- Government free to decide about transfer of land to any person/authority --Make reservation for EWS in 10% of land used for residential use when area of colony is 40 hec or more To carry out all directions issued by CA regarding layout plan, development works including inspection by any office authorised -

18. - Development of land into Colony - To maintain/upkeep of roads/open spaces/parks/public health services free of cost till transfer to ULB/Govt --In case of violations of conditions defined- license to be cancelled after giving an opportunity of being heard --in case of cancellation-CA may carry out/get the development works completed at the risk and cost of promoter-- invoking bank guarantee- recover cost from promoter/ allottee as arrears of land revenue --Liability of promoter limited to the amount collected from allottee less the amount already spent --After the development works are carried out- CA may direct the promoter to receive balance money from allottee - if any- transfer the possession/title within time specified –failing which CA may himself transfer the same on receipt of amount due -

19. - 6- Contents of AGREEMENT of sale -All developers/ builders to enter into an written agreement of sale with buyer of plots/flats - before accepting advance payment not exceeding 25% of sale price - agreement to be in prescribed form, registered under Indian Registration Act --In case of refundable fee collected then such agreement to be made after draw of lots -Agreement once made- not to be cancelled unilaterally by builder- after giving notice and refunding full amount with interest when a valid cause exists --Agreement made will contain particulars in case of Apartments - construction as per plans/specifications approved; date by which possession to be given; area of flat/balconies; nature, extent, description and price of apartment including price of common areas/facilities, ; nature of association of allottees to be formed; use of flat

20. - 6- Contents of AGREEMENT of sale In case of Plot in a colony — - date of possession of plot --Area and price of plot --Use of plot and restriction , if any In addition— --Certificate issued by advocate regarding title of land --Certified copies from the revenue record- regarding title of promoter -- plans and specification of apartment as approved by the Competent Authority

21. - Registration of Agreement of sale S-7-All agreement to sell shall be registered under Registration Act by the promoter S-8-In case of unregistered agreement- it may be received as an evidence of a contract for specific performance S-9- All money received by Promoter from intending buyer shall be kept into a separate account in any scheduled bank and- -- used for meeting cost of construction in case of flats/providing development works in case of colony - on demand in writing make true disclosure of money spent- and shall not spent for any other purpose other than collected S-10- Promoter liable to pay all outgoings collected from buyer till possession is handed over. Failure to do so to attract legal proceedings with liability to pay.

22. addition & alteration, defects S-11-No additions and alterations- after the approval of plans/specification of building & entering into agreement- no changes can be made without the consent of buyer - buildings to be constructed as per approved plans/specifications- if any defect in building/material is found within 2 years of handing over the possession- promoter to rectify the same at his cost/ duly compensate buyer- in case of dispute CA to proceed against the promoter S-12-Refund of amount- Failure to give possession of plot/flat- for reason beyond control- amount collected by promoter to be refunded with simple interest from the date of receipt of money till refunded and shall be a valid charge on land on which to be constructed

23. Mortgaging properties– OCCUP. CERT S-13- No mortgage can be made / charge created - by Promoter on plot/flat after agreement to sell is made- without the consent of buyer- in case made it shall not effect the rights of buyer. No buyer can create charge/mortgage the plot/flat unless all dues are paid to promoter S-14—Occupation/completion certificate- after completion of building in case of apartment--completion certificate of development works in case of colony-- Promoter duty bound to get completion/occupation certificate- failing which allottee may apply for such a certificate to CA- who on satisfaction of conditions of agreement issue such a certificate S 15- Promoter to execute documents- After obtaining OC- Promoter to take steps to complete title and convey ownership/ execute conveyance deed etc of apartments /common area linked to the allottee within 3 months of giving possession

24. Enforcement of Registration OF Conveyance- S-16- Enforcement of Registration of Conveyance-Promoter duty bound for executing conveyance deed of apartment within 3 months- failing which may make in writing to CA allottee in possession of apartment who after making required enquiry- is satsfied -direct the allottee to present the conveyance deed for unilateral execution before registering authority -Thereafter registering authority to issue summons to Promoter- failure to appear amount to admission by Promoter- to register the deed - failure on part of Promoter to attract penality upto 5% of the price of plot/apartment or Rs 5000 whichever more and a further penalty@ Rs 100 per day for continued default- recovered as arrear of land revenue.

25. Promoter responsible for Essential Services S-17--No promoter- without sufficient cause/ cutting off by municipality- to cut off/withhold/curtail/reduce essential services- water supply/electricity/lights in passage /staircase/lifts/conservancy/sanitary services- enjoyed by allottee - in such cases – allottee can move the CA for restoring the services- On enquiry if CA satisfied – then pass an order to restore such services- in case of default a penalty @ rs 100/- day for the period of default to be imposed- Promoter/person responsible for services when found guilty will attract imprisonment upto 3 months or fine upto Rs 5000 or both

26. REGULATION OF Property transaction S 18- subject to other provision--Promoter entering into a property transaction to make disclosure— - nature of title - duly certified by an advocate -- encumbrances on such property–right/title/interest -- if land held on lease-- consent from the lessor --NOC from CA in case of Urban Land Ceiling Act,1976 -- Reservations, in development plan on use of land -- date by which possession of the property to be handed over -- full and true disclosure of all outgoings, including ground rent, if any, municipal or other local taxes, revenue assessment etc -- No prospectus/ advertisement offering for sale any property to be issued-- unless advertisement indicates place / time the documents are available for inspection

27. General Liabilities of Allottee S 19- Every Allottee --to make payment at proper time /place / price/ proportionate share of municipal taxes/ water/ electricity/ground rent etc in accordance with agreement of sale Any Allottee -- who, without reasonable excuse, fails/ contravenes -- on conviction, be punished with fine extending upto 1% of price of apartment/ plot/ property,, or 1000 rupees, whichever is greater. S 20- Restriction on structure in a colony-- Every person, erecting/ re-erecting any structure in a colony-- shall comply with building bye-laws-- use of land, layout plan, zoning regulations, site coverage, height , set back lines, structural / sanitary requirements, architectural control, design and material to be used .

28. PAPARA- 1995 CHAPTER III REGISTRATION OF PROMOTERS AND ESTATE AGENTS

29. Registration of promoters 21- Registration compulsory-- business of promoter/ estate agent to be carried out as per conditions of certificate of registration granted Registration to be obtained- based on application with fee made to CA-who may enter applicant name in register as promoter/estate agent and grant a certificate of registration 22- conditions of Registration—In case of promoter- any employee /applicant/partner/director – must possess prescribed qualification --for Estate Agent- applicant should have the qualification prescribed -Furnish a bank guarantee/security of prescribed amount- except statutory body --Income tax clearance certificate from IT Authorities --not been convicted of an offence under this Act/any law relating to construction/ use of premises/if convicted, a period of five years has elapsed after that conviction ---Provided any authority created for development of land/ housing under any law exempted from these conditions-- and granted a certificate of registration on application

30. Qualifications for registration 24. Qualifications for registration- Promoter/ E state agent.- (a) For Promoter -- applicant himself/ his employees /partners / directors -- should be Matriculate/ possess equivalent qualifications -- not less than eighteen years of age -- at least five years experience in development of colonies/ construction of buildings - whether as a construction engineer/architect/a town planner / as a contractor --furnish a bank guarantee/ security of fifty thousand rupees ( b) Estate agent, -- the applicant should be Matriculate --not less than eighteen years of age --should not be in employment of Government / State undertaking/local authority -- Should not have been dismissed from service of Government -- have at least five years experience as an estate agent. --furnish a bank guarantee/ security of ten thousand rupees

31. Registration of promoters 23-- Renewal of Registration- validity- five years -- renewed for another period of five years on an application made- conditions of Sec 22 continue to be fulfilled -- application made at least 3 months before expiry of registration. 24. Refusal to grant/renew registration- only after opportunity of being heard- by recording / communicating applicant. 25-cancellation of Registration-- registration is liable to cancelled, if the promoter /estate agent, - (a) surrenders the certificate of registration as he does not wish to continue carrying on the business ; (b) applied to be adjudicated / adjudicated/ un-discharged insolvent (c) adjudicated to be of unsound mind by a competent court (d) convicted of an offence under this Act/under any law relating to construction or use of premises and a period of five years has not elapsed after that conviction ; (e) contravened terms or conditions of registration or any provisions of this Act or the rules made there under.

32. Registration of promoters 2 6-Notice before cancellation—Notice before cancellation to be given- -consider the explanation given CA may pass an order -during the pendency – registration can be suspended 27-Carrying out business after cancellation of Registration – deemed to carryout business without registration 28—Maintenanace of accounts and record– every registered promoter to maintain record/register in prescribed manner --CA to maintain register for all licenses given/refused & certificates of registration issued/refused- available for inspection on demand 29 Audit- All accounts of Promoter/EA to be audited by a chartered Accountant annually with copy produced that amount collected has been used for the specified purpose only 30- Periodic Return—Prescribed returns filed by promoters/ estate agents 31-Inspection—Competent Authority may inspect/cause to be inspected accounts of promoters/ estate agents at any time during business hours

33. CHAPTER IV-- MISCELLANEOUS PROVISIONS

34. Urban Development Fund 32 Urban Development Fund—For all licensed colonies-- promoter to make payment of service charge @ Rs 1/ psm of plotted area to be developed- excluding the area for public use- in two equated installments- first/second within 60 days/ 6 months of grant of license- promoter to pass the same to allottee - Amount collected to constitute Urban Development Fund -amount not paid to be recovered as arrears of land revenue --Fund to be used for – benefit of allottees , development of colonies, promote Research and Development in T&CP, urban affairs State to publish annually report of activities financed from the fund and statement of accounts

35. Punjab Urban Development fund 29. Utilisation of fund.- The Punjab Urban Development Fund -- in addition to the purposes specified in sub-section (4) of section 32, also be utilised for ( i ) up-gradation and modernisation of technology in town planning and urban affairs. (ii) providing training facilities in urban management and town and country planning; and (iii) organising seminars, workshops and conferences on town and country planning urban affairs and urban management.

36. APPELLATE AUTHORITY & APPEAL 33- State Government to appoint an officer/ authority as-appellate Authority -- to hear appeals against the order of Competent Authority - person aggrieved by the order of CA within 30 days may appeal AA to hear both the parties and pass order in writing -- order of AA to be final unless revised by the state Government 34 Revision– State Government may -- suo moto /application made by aggrieved party within 60 days- -- review the order passed by the CA/AA- and -- after hearing both the parties Revise the orders - no further revision shall be made thereafter

37. APPELLATE AUTHORITY & APPEAL 36 – Offences by promoters/estate agents- -- for violations of sec 3,6,9-- on conviction, punished with imprisonment upto three years/fine up to ten thousand rupees/both. --sec 9- misuse of funds-- imprisonment for a term not less than six months extended to five years/ with fine not be less than two thousand rupees extendable up to ten thousand rupees or amount in respect of offence was committed, whichever is greater/ or both -- fails to comply with/contravenes, any other provision of this Act/ rule/ does not pay penalty imposed- imprisonment for a term which may extend to one year, or with fine which may extend to ten thousand rupees, or both In case of compounding of offence- no further action to be taken and person released

38. Papra - miscellaneous 39- Illegal construction made to be demolished- on a notice given / failure of applicant to satisfy CA 43- Over- riding effect of Law- - notwithstanding anything to contrary contained in any other law/ or in any contract. 44- Exemptions-- Subject to section 32- nothing in this Act shall apply if promoter is,- (a) a local authority /statutory body constituted for development of land/ housing ; (b) a company/body created for development of land / housing/ promotion of industry wholly owned / controlled by State/Central Govt (2) In case of hardship- state may exempt- any class of persons /areas -- from all/ any of provisions of this Act -on such terms/ conditions as it may impose.

39. Papra - miscellaneous 45- Power to make Rules -46– Repeal-- The Punjab Regulation of Colonies Act, 1975 is hereby repealed. (2) The repealing of the Act shall not affect-- previous operation of the Act so repealed or anything duly done or suffered thereunder

40. the Punjab Apartment and Property Regulation Rules, 1995.

41. DEFINITION ‘amenity’ includes-- roads, water supply, street lighting, drainage, sewerage, public parks, schools, hospitals, community centres and other community buildings, horticulture, land- scaping and any other public utility service

42. PAPRA- RULES 3. Disclosure regarding design/ material to be used.- P romoter to disclose following particulars in respects designs / materials to be used in construction, namely :- ( a) In respect of design,- ( i ) Location Plan of the building; (ii) Design of the building and of the apartment; (iii) Elevation; (iv) Cross sections; and (v) Structural design; ( b) In respect of materials to be used in construction ( i ) foundation; (ii) super structure; (iii) flooring; (iv) roofing; (v) joineries; and (vi) electric and sanitary fittings.

43. Reservation for- ews apartments / plots 4. Person whose family monthly income-- does not exceed 2650 rupees / income limit fixed by CA based on limit, fixed by Planning Commission of India shall be- - deemed to be of EWS category (2) No EWS category person eligible for allotment if,- ( i ) he/ her spouse /minor child owns- -- - a residential plot/ building in UT Chandigarh -- Urban Estate Punjab -- colony developed under Punjab Regulation of Colonies Act, 1975 -- housing scheme of PUDA /local authority / Imp Trust ; --( ii) less than eighteen years of age -- -- constructed size of apartment shall not be less than 20 square metres an d more than 40 square metres and -- Plot- not less than 40 square metres and more than 90 square metres of plot -or as determined by CA - with prior approval of State Government.

44. Reservation for- ews apartments / plots 5 . Mode of allotment of reserved apartments and plot .- (1) Promoter to invite applications for allotment of apartments /residential plots -- by a public notice in at least two newspapers widely in circulation and file in office of CA (2) Applications received entered serially in a register (3) No incomplete application rejected -- -- defect found shall be got rectified (4) Promoter with approval of CA—determine eligible applicants for allotment of plots /apartment , (5) A llotment made by draw of lots under supervision of CA / any of its authorised person 6. Price to be paid for allotments for apartments and plots . – shall be at least 15% less than -- price fixed for other categories of persons -- - payable in instalments -- within period of minimum three years from allotment

45. Application for licence 10. Application for licence and documents to be used and fee to be paid for grant of licence.- a) demand draft @ rupees 500 / hec subject to a minimum of 2000 as licence fee (b) income tax clearance certificate; (c) experience as promoter (d) financial position of promoter; (e) P lans and documents in triplicate, - ( i ) copies of title deeds (ii) Shajra Plan showing location of colony (iii) a guide map (iv) a survey plan of land under the proposed colony on (v) layout plan of a colony (vi) an explanatory note with salient features of colony--, water supply arrangement / site for disposal / storm and sullage water;

46. Application for licence vii) cross-sections of the proposed roads indicating (ix) detailed specifications and designs of road works (vii) and estimated cost thereof; (x) detailed specifications /designs of sewerage, storm water, and water supply schemes with estimated costs of each; (xi) detailed specifications/ designs for disposal and treatment of storm and sullage water/estimated costs (xii) specifications/ designs for electric supply including street lighting.

47. Application for licence ( i ) colony , other than industrial colony- - land reserved for roads, open spaces, schools, public and community buildings and other common uses-- shall not be less than 45 % of gross area of colony -- Provided competent authority may reduce this percentage, to 35% where, in its opinion -- planning requirements and size of colony so justify ; For industrial colony— land reserved – for community buildings etc as mentioned aforesaid - shall not be less 35 % of gross area of colony , -- Provided that CA may reduce this percentage to 25% -- where, in its opinion planning requirements and the size of colony so justify

48. Inquiry by competent authority .- 11. Inquiry by competent authority .- CA to enquire into following matters-- (a) title to the land (b) extent and situation of the land; (c) financial /managerial capacity of promoter (d) layout plan of colony; (e) development works to be executed (f) conformity of development with neighbouring areas and master plan

49. Conditions to be fulfilled for license 12. Conditions required to the fulfilled by the applicant.- (1) Applicant, found fit for licence shall be asked to;- (a) furnish bank guarantee equal to 25% of estimated cost of development work (b) an undertaking for completion of development works ( i ) maintain a separate account in any Scheduled Bank of all sums, taken by him from persons and utilize this amount for meeting cost of development works ; (ii) pay proportionate External development charges -- maintain all roads/ open spaces, public parks/ public health services for a period of five years from issue of completion certificate --construct /get constructed community buildings or transfer land to State Government either free of cost/payment of actual cost of development of land, as decided by the State Government ,

50. Grant and renewal of licence 13. Grant of Licence.- CA shall grant a licence-- -- after promoter furnished a bank guarantee of 25% estimated cost of development works -- deposit service charges as provided under section 32. 14. Renewal of Licence.- (1) If promoter fails to complete development works within a period of three years -- Apply for renewal of his licence at least thirty days before the expiry accompanied by :- ( i ) a demand draft @ fifty per cent of the fee prescribed as renewal fee (ii) income tax clearance certificate; (iii) details of development works completed/in progress/ to be undertaken; (iv) reasons for non-completion of development works . -- CA shall on satisfaction renew licence for one year.

51. Building Regulations/BANK Gurantee 21. Building Regulations.- -- In areas falling within municipality-- bye-laws of municipality shall be applicable and -- in areas falling outside municipality , building rules made under the Punjab Regional and Town Planning and Development Act, 1995 shall be applicable. 22 . Release of Bank Guarantee.- After development works in a colony get completed , -- completion certificate to be issued -- CA - on an application from P romoter , release within three months bank guarantee after adjusting amount incurred under sub-section (13) of section 5. Provided one-fifth of bank guarantee shall be kept unreleased - to ensure up-keep /maintenance of the colony for a period of five years

52. Qualifications for registration 24. Qualifications for registration- Promoter/ E state agent.- (a) For Promoter -- applicant himself/ his employees /partners / directors -- should be Matriculate/ possess equivalent qualifications -- not less than eighteen years of age -- at least five years experience in development of colonies/ construction of buildings - whether as a construction engineer/architect/a town planner / as a contractor --furnish a bank guarantee/ security of fifty thousand rupees ( b) Estate agent, -- the applicant should be Matriculate --not less than eighteen years of age --should not be in employment of Government / State undertaking/local authority -- Should not have been dismissed from service of Government -- have at least five years experience as an estate agent. --furnish a bank guarantee/ security of ten thousand rupees

53. Punjab Urban Development fund 29. Utilisation of fund.- The Punjab Urban Development Fund -- in addition to the purposes specified in sub-section (4) of section 32, also be utilised for ( i ) up-gradation and modernisation of technology in town planning and urban affairs. (ii) providing training facilities in urban management and town and country planning; and (iii) organising seminars, workshops and conferences on town and country planning urban affairs and urban management.

54. Thanks for your patience and time