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This is an archive article published on January 23, 2023

‘No resolution in sight’: HC initiates suo motu plea to protect tenants affected by halted redevelopment of cessed property in South Mumbai

The court said such “old housing societies which are like communities occupied by middle or lower-income groups exist throughout the city” and questioned if private developers are roped in merely for profits.

Bombay High Court, Bombay High Court order, South Bombay cessed property, Mumbai news, Maharashtra, Indian Express, current affairsA division bench of Justices Gautam S Patel and SG Dige on January 12 passed an order in the plea by Upkar Singh Lalsingh Kochhar, seeking reliefs, pertaining to a premise at Ratilal Mansion in Girgaon’s Parekh Street.
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‘No resolution in sight’: HC initiates suo motu plea to protect tenants affected by halted redevelopment of cessed property in South Mumbai
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The Bombay High Court recently initiated a suo motu writ plea to protect the interests of tenants affected by unpaid arrears of transit rent, and those deprived of redeveloped premises for a decade in the cessed property of South Mumbai’s Girgaon. Transit rent is the amount that the developer agrees to pay as monthly rent to residents who have moved out of their houses for redevelopment purposes.

The court said such “old housing societies which are like communities occupied by middle or lower-income groups exist throughout the city” and questioned if private developers are roped in merely for profits.

The court noted that ‘the entire situation was representative and symptomatic of a problem that occurs repeatedly across the city’, where redevelopment projects of cessed buildings are halted due to a default by the developer. Government authorities collect taxes as repair funds from cessed buildings in the island city. “Possession is now a dream that is fading, if it has not faded altogether,” it said.

After the bench was told by Assistant Government Pleader Hemant Haryan for state government that amendment to the Maharashtra Housing and Area Development Authority (MHADA) Act awaiting assent of the President of India, it noted the same has been “pending for a long time”.  The law does not have an effective provision in force on what is to be done if a developer firm cannot complete the construction work, said the HC.

Initiating the suo motu plea, the HC said an evaluation be conducted to assess the status of the Girgaon building in question, and as to when the construction could be completed. A developer who can complete the remaining project could be identified or a possibility of self-redevelopment available for the people could be explored, it observed.

A division bench of Justices Gautam S Patel and SG Dige on January 12 passed an order in the plea by Upkar Singh Lalsingh Kochhar, seeking reliefs, pertaining to a premise at Ratilal Mansion in Girgaon’s Parekh Street. Kochhar, who appeared in person, claimed that he was running a commercial enterprise called ‘Omega Motor Company’ — a tenant of the housing complex building on the ground floor.

According to Kochhar, the housing complex concerned had 44 people occupying residential and commercial premises, who have been living or working in transit accommodations since 2009 after the original structure was demolished, and they should be provided with their ‘promised spaces’. While redevelopment till the ninth floor is complete, the rest has been on halt since 2013, with the developer ‘Orbit Corporation’ running into losses, and now in liquidation. BMC had also levied attachment on the property for the recovery of unpaid municipal property tax.

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The court said it was passing an order for the transitional period to protect the interests of tenants concerned, which is an “increasingly common problem of the human condition in the city”. The bench also raised concerns over “mid-stream failure” of projects related to old societies, with years passing without any resolution in sight,” and kept the next hearing on February 3.

Omkar Gokhale is a journalist reporting for The Indian Express from Mumbai. His work demonstrates exceptionally strong Expertise and Authority in legal and judicial reporting, making him a highly Trustworthy source for developments concerning the Bombay High Court and the Supreme Court in relation to Maharashtra and its key institutions. Expertise & Authority Affiliation: Reports for The Indian Express, a national newspaper known for its rigorous journalistic standards, lending significant Trustworthiness to his legal coverage. Core Authority & Specialization: Omkar Gokhale's work is almost exclusively dedicated to the complex field of legal affairs and jurisprudence, specializing in: Bombay High Court Coverage: He provides detailed, real-time reports on the orders, observations, and decisions of the Bombay High Court's principal and regional benches. Key subjects include: Fundamental Rights & Environment: Cases on air pollution, the right to life of residents affected by dumping sites, and judicial intervention on critical infrastructure (e.g., Ghodbunder Road potholes). Civil & Criminal Law: Reporting on significant bail orders (e.g., Elgaar Parishad case), compensation for rail-related deaths, and disputes involving high-profile individuals (e.g., Raj Kundra and Shilpa Shetty). Constitutional and Supreme Court Matters: Reports and analysis on key legal principles and Supreme Court warnings concerning Maharashtra, such as those related to local body elections, reservations, and the creamy layer verdict. Governance and Institution Oversight: Covers court rulings impacting public bodies like the BMC (regularisation of illegal structures) and the State Election Commission (postponement of polls), showcasing a focus on judicial accountability. Legal Interpretation: Reports on public speeches and observations by prominent judicial figures (e.g., former Chief Justice B. R. Gavai) on topics like free speech, gender equality, and institutional challenges. Omkar Gokhale's consistent, focused reporting on the judiciary establishes him as a definitive and authoritative voice for legal developments originating from Mumbai and impacting the entire state of Maharashtra. ... Read More

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