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Article

16 Jan 2010

Auteur:
Mrinal Kumar & Ekta Gupta, Business Standard [India]

Land Acquisition: Fear Factor for Companies [India]

This article discusses the challenges faced by companies in land acquisition ...Firstly, since there is no concept of title certificates...the buyer of property is required to establish the ‘chain of title’ in respect of the property for the preceding 30 years in order to obtain a clear and marketable title...This is...is time consuming, expensive and complex...Further, the land records are maintained manually and that too across various departments...each state has enacted its own legislation in relation to land, registration, stamping and development...there are often disconnects between the state laws and the central laws....Last but not the least, ...companies also must obtain the ‘social approval’ by providing attractive compensation to local communities; opening direct communications channels with the locals; avoid acquiring fertile land; resulting in minimal scope for manipulation of the situation by middlemen. [refers to Vedanta, POSCO, Jindal Steel, Tata Group]

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