KHADC decides to take action against banks which fail to recognize land documents issued as per Land Act

SHILLONG, SEP 1: The Khasi Hills Autonomous District Council (KHADC) on Friday threatened to close down banks and financial institutions, which fails to recognize the land documents issued by the Council as per the KHAD (Regulation and Administration of Land) Act, 2021.

The decision was taken at a meeting convened by the KHADC chief Pyniaid Sing Syiem with representatives of the different banks and financial institutions operating under the Council’s jurisdiction.

This came after the KHADC had received complaints from several people that the different banks and financial institutions have rejected their loan applications simply because they refused to recognize the land documents issued by the Council as mandated by the said Act, which had recently received the assent of the Meghalaya Governor.  

Addressing the media after the meeting, KHADC chief Pyniaid Sing Syiem said that the deputy secretary in-charge Land has been directed to immediately issue circular along with a copy of the KHAD (Regulation and Administration of Land) Act, 2021 to all the banks and financial institutions for their necessary action and compliance.

“We have also made it clear during the meeting that after issuing our final circular about the Act, if the banks continue to reject the loan applications by not recognizing the land documents issued by the Council, we will be compelled to take action as per the Non-Tribal Regulation Act, which is we will close down all such banks,” he said.  

Syiem informed that the Act had clearly stated that land documents issued by the Council should be recognized by any authority including banks and other financial institutions.

He said that the land recording officer is competent to issue NOC for mortgage and land valuation certificate and non-encumbrance certificate.

“Therefore, as empowered by the Act, we will not allow the banks to reject the loan applications of our people,” he added.

According to him, the Act has become a big blessing to the people especially those who want to strengthen ownership over their land. The KHADC has also come up with different slabs for land registration.

By our Reporter