Apex real estate body takes 'no bribe' oath

Oct 12, 2012, 06:38 IST | Varun Singh

After returning from Barcelona where the Confederation of Real Estate Developers' Associations of India (CREDAI) president and members attended a real estate conclave, CREDAI took an oath that the builder community would no longer resort to giving bribes to get their work done. CREDAI is the apex body of real estate sector in the country.

“We have had enough of these allegations that builders breed corruption. There are 150 officers whom we have to meet to get our files passed. Until the government adopts the single window clearance system, bribes will continue. But we builders, as a community, have now decided that we won’t bribe anyone and would follow the mantra of ‘no to corruption’. Several members reacted positively to our latest approach,” said CREDAI President Lalit Kumar Jain.

Representation pic

“One day, all of you will say Ataa Maajhi Satakli when someone asks you for money for doing favours,” he added.

Flats for less
A builder said it was possible to sell flats for 30 per cent less if the bribe amount they paid to officials was deducted.

“We pay bribes to get our files passed. The bribe is in few thousands at lower level, but as we go up the amount increases and at times is in crores,” the builder said.

Jain said it would take at least five years to attain a minimum 95 per cent transparency in the real estate sector.

“We are doing work which is respected across the world, providing homes. However, we aren’t getting the same respect. I have told many developers that we don’t follow the rules and curb the malpractices. We need respect. If we follow the rules, soon we will earn same respect,” Jain said.

Black money thins
A builder requesting anonymity said circulation of black money in real estate sector has gone down.

“With stringent enforcement of income tax rules and ready reckoner rates in the state, there’s hardly any scope for wrongdoing,” the builder said.
Another builder said developers would not sell flats based on carpet areas, as this will reduce their profit margin.

“So to sell a flat based on saleable area, which includes built-up and super built-up, a builder will have to bribe several officers. To expect others to be honest, first we need to be honest,” the builder said.  

Go to top