'HC ban on groundwater tapping to hit Gurgaon realty market'

Industry body Assocham on Tuesday said the realty sector and investments in Haryana will be hit following the High Court order directing the state government not to issue permits for construction unless builders give in writing that ground water will not be drawn by them.

Assocham also asked the state government to ensure availability of basic infrastructure like water in Gurgaon, which houses many multinational companies (MNCs) and is major property market of the NCR region, as well as the country.

"It will not only give a severe jolt to the realty sector but will also hurt investment scenario in the state," the chamber said.

Citing findings of their study that showed as much as 50 per cent of investments in Haryana as of December 2011 were in the realty sector, Assocham secretary general D S Rawat said, "This investment was largely driven by a construction boom in Gurgaon, which is a hub of the corporate India- both domestic and global."

“With a halt to the construction sector, the investment in the state will be drastically reduced," he added. 

Rawat said the Indian industry is all for striking a balance between development and environment but the responsibility for basic infrastructure like water lies with the state.

Of its total investment of Rs 4.98 lakh crore as on December 2011, the real estate sector accounted for Rs 2.48 lakh crore in Haryana, which has other towns like Faridabad, Sonepat, Ambala, Panipat and Karnal where the realty sector is growing fast, even though they are no match for Gurgaon, the statement said.

The state government, with the help of the Centre, must ensure that the basic infrastructure is provided in the state so that investment in Haryana, does not come to a halt, the chamber said.

As Gurgaon has become a hub of domestic and MNC firms, the study found out that “real estate development was the focal point in Haryana.”

LIC rejects claim, to pay up 

The LIC has been told by a consumer forum to pay Rs 4 lakh to the widow of a life insurance policy holder for rejecting her claim on her husband’s death on “fanciful ground”, reports PTI.

The forum ordered the Life Insurance Corporation of India to pay the compensation while condemning its act of rejecting the claim.

The LIC had rejected the claim on alleged ground of suppression of pre-existing disease, despite having medically examined and cleared the insured before issuing the policy, said the forum.