The Kerala Cabinet on Wednesday approved new rules for allocating title deeds and for simplifying transfer of land ownership in industrial estates under the Directorate of Industries and Commerce. Industries Minister P. Rajeeve said that the changes were made as per the demands entrepreneurs have been making for decades. The new rules will remove the existing hurdles in transfer of ownership and starting new enterprises instead of the originally designated industrial enterprises.
Delays reduced
As per the changes, the requirement during land transfer for the person purchasing the land to pay the difference in land price, has been done away with. As per the existing rules, the entrepreneur can transfer the land only after three years after the start of production, while the changed rules allow land transfer after three years of allotment. Both these steps are expected to reduce the long delays in land transfer.
The existing rules allowed change in the ownership structure only after three years of start of production. This has also been amended to allow changes after three years of allotment. As the new rule is issued with the approval of the Revenue department, there is no hindrance to the District Collectors considering the title deed application.
The nature of the industrial undertaking is stated in the existing title deed form, but as per the new rules, the entrepreneur only needs to broadly state it as industrial activity. With this amendment, even if the nature of the industry changes, it need not be changed in the title deed. This would save on the delays caused due for title deed amendments.
Hire purchase basis
Title deeds in industrial estates were given as per the government notification of 1964. In 1969 and 1970 also, the Industries department had issued orders for allotment of land on hire purchase basis in development areas and development plots under the department. But, these orders were not backed by the Land Assignment Act. The title deed application had to be submitted to the Revenue department through the respective general managers and the Director of the Industries department. But, this process of title deed allocation was beset with delays.
Although another order was issued in 2020 to address this, the District Collectors still had limitations in granting titles. It is in this context that the new land rules are being issued with the backing of the Land Assignment Act of 1960, said Mr. Rajeeve.
