Disposal of Land Rule - RIICO

(i) If transfer of plot/land or interest/holding in the firm is in favour of blood relations. The
spouses shall also be treated at par with blood relatives.
(ii) If the transfer of the land/plot is being affected due to sale of land/plot by Financial
Institutions, RIICO, RFC, Banks, DRT or the competent Courts under the relevant Act,
after taking over the assets of the unit.
(iii)If the transfer of the land / plot is being affected in pursuance of rehabilitation scheme
sanctioned/ approved by BIFR/AAIFR/Financial Institutions.
(iv) If the plot is being transferred to a new firm wherein the transferor proprietor/partner(s)
and / or their blood relations are holding controlling shares in the new transferee firm.
(v) If an allottee proprietorship firm/partnership firm wants to carry out the business in
changed name and / or style (converting into proprietorship firm/ partnership Firm/
Company as the case may be) provided the original proprietor/partners and / or their
blood relations hold major share holding in the new set-up.
(vi) If an allottee private limited / public limited company continues to carry out the
business in its name irrespective of making changes in their board of director or carry
out the business in the name of the company permitted by re-placing the name of
existing company.
(vii) If the transfer of the allotted plot from one company to another company is being
affected on account of the situation that the two companies ( allottee/lessee company
and transferee company) are getting amalgamated under the relevant law and in both
these companies there are common directors having minimum 75% share holding in
each of the amalgamating company. ( inserted as per approval of the IDC vide item 28 of its
meeting held on 30.7.2010.)
18(d) Explanations and Notes:
(i) Existing partners / promoters means partners / promoters existing at the time of plot
allotment.
(ii) Blood relations means husband, wife, sons, daughters, brothers, sisters, father,
mother, grand father & grand son of the allottee.
(iii) Transfer of the plot under the rule will be subject to the condition that the
Corporation will not be responsible to provide any infrastructure facilities viz. road,
water, power, drainage, street lights etc. It will be the exclusive responsibility of the
transferor/transferee to arrange the required infrastructure facilities at their own
level and cost. An undertaking to this effect shall be taken from the transferor /
transferee at the time of issuing permissions for transfer under the rule.
(iv) Transfer of plot / land under these rules will be permitted for the same purpose for
which the plot / land had been allotted.
(v) Computation of transfer premium would be done as per the rate prevailing on the
date of payment made by the allottee.
(vi) All provisions as have been mentioned in this rule will be applicable on all pending
cases. However the cases wherein transfer premium has already deposited shall not
be reopened.
(vii) Transfer of plot by concessional category candidate to same category (as defined in
Rule 3) or transfer of plot after five years from the date of commencement of
commercial production to general category shall be allowed (under rule 18 above),
without recovering rebate granted on allotment, otherwise the amount of concession
allowed at the time of allotment shall also be recovered with interest from the date
of allotment to the date of payment. The period of possession remained with
financial institution or the unit remains closed after production shall be treated in