Hype around Mokila plots ends up in embarrassment: HMDA scraps top bids, blacklists bidders

HYDERABAD: The hype and hoopla around the sale of land parcels by the Hyderabad Metropolitan Development Authority (HMDA) has come a cropper with those who bade the highest for some plots quoting in excess of Rs.80,000 to Rs.1,05,000 have chickened out. They failed to deposit the amounts they offered for each plot. Dismayed by this shying away of the bidders, the HMDA decided to serve them notices and appropriate their earnest money deposits towards the participation fee.

This smacks of the artificially jacked up prices by the real estate cartels. In fact, it’s yet to be seen how much the bidders would come forth for the prestigious Neopolis and Budwel IT Companies land parcels.

The HMDA issued a press release on the failure of bidders for Mokila on Monday in which it had announced that the failed bidders would be blacklisted and would not be allowed to participate in the future auctions. Out of the 50 plots, H1 bidders of plot no.s 241, 242, 263, 273, 282, 283, 284. 312, 313 and 322 failed to pay the 25 per cent initial deposit.

The HMDA release reads as below

• It is informed that the e-auction has been conducted for sale of (50) open plots of Mokila layout under Phase-I and an overwhelming, tremendous response received from the bidders.
• And a high value of Rs: 1,05,000/- per sq.yd bid received on an average of Rs: 80,397/- per Sq.yd.
• Out of (50) plots, the H1 bidders of Plot No. 241, 242, 263, 273, 282, 283, 284, 312, 313, 322 have not paid the Initial Deposit (25%) amount even after giving ample time to them.
• Hence Cancellation Letters issued to the above Plots duly forfeiting the EMD amounts and these defaulters will be not allowed to participate in future auctions also.
• In the light of this, it is informed to all the selected H1 Bidders to pay the installments as per the payment schedule prescribed in the Brochure conditions. Otherwise the necessary action for cancellation of allotment and forfeiture of EMD will be taken as per the brochure conditions and no relaxation/extension will be given at any circumstances.
• If any H1 Bidder(s) fails to pay the Initial Deposit/First Installment amounts, they will not be allowed to participate in future auctions and will be kept in block list.
• H1 Bidders of Mokila Phase-II i.e. auctions done on 23-08-2023, 24-08-2023, 25- 08-2023, 28-08-2023 and 29-08-2023 should pay the requisite amount within the stipulated period to avoid cancellation and forfeiture of EMD apart from baring from future auctions.

It may be recalled that The Mokila plots in Hyderabad Metropolitan Development Authority (HMDA) have witnessed a successful sale fetching a whopping amount of Rs. 716 crore for the 350 plots sold in the e-auction conducted in the first and second phases.

The highest price fetched per square yard was Rs 1,05,000, resulting in a total income of Rs 121.40 crore.