Patna, June 21: Bihar State Housing Board has cancelled the allotment of plots for alleged commercial use at Adarsh Co-operative Housing Society at Sri Krishna Puri Nagar.

Earlier, there were allegations that the housing board was targeting only high profile bureaucrats. The decision to cancel the commercial use of these plots was taken after the housing board felt the society committee has failed to reply to the showcause notice seeking explanation on alleged commercial use of residential premises. The beneficiaries of Adarsh society are mainly Patna High Court advocates and employees, doctors and engineers among others.

The state minister of urban development department defended the housing board’s action. “Whatever action has been taken by the housing board is justified as these are in accordance with its provisions. Moreover, beneficiaries of plots including bureaucrats should have refrained from violating the rules of allotment,” he said Prem Kumar.

In a notice served on the committee on June 15, the housing board said despite its notices to the committee on May 18 and June 7, neither did the committee took any satisfactory action on the offenders nor was any expected clarification furnished by the committee.

A copy of the notice procured by The Telegraph also states that all provisions of the agreement and lease deeds through which allotment was made have been “cancelled”, meaning such provisions and deeds are no longer valid. Thus, the plots concerned would come back to the housing board under its provisions.

The notice also states that the Adarsh society committee had been instructed to assist the executive engineer of division-2 of the housing board while taking physical possession of the allotted plots.

The notice further states that since residential plots are utilised for commercial purposes, it also calls for payment against damage and penalty. Consequently, it is instructed that the Adarsh co-operative housing society committee is instructed to pay Rs 4.72 crore against damage of property and an equal amount as penalty. The entire amount of Rs 9.45 crore approximately is to be paid by the Aniket Co-operative Housing Society committee within 30 days of receipt of this notice.

Moreover, in the absence of non-payment of the amount, actions would be taken against the provisions of Bihar State Housing Board Act 59A and Bihar and Orissa Public Demand Recovery Act, 1914.

Sprawling over 3.29 acres of the housing board, several advocates, doctors, engineers and state government employees stay at the Adarsh society, also known as Adarsh Colony at Sri Krishna Nagar.

The land has been divided into 45 plots, wherein 41 plots are allotted to Adarsh society committee and four plots are directly allotted to respective beneficiaries by the housing board. Housing board had allotted the plots to the beneficiaries in 1969 at the rate of Rs 1,600 per cottah for 99 years.

Private firms, a government office, a school and mobile towers among others have come up on some of these plots. Apparently, such commercial utilisation is reported on seven of the 45 plots in the society. (See chart)