MHADA bypasses DP, BMC orders probe

The irregularity in this case concerns additional FSI setback TDR 8212; which is granted when a portion of land is taken away by the BMC for road construction 8212; which was sold in the open market without the consent of the private parties, who have leased the land from MHADA. The TDR, sources say, amounts to 19,354 sq mt worth Rs 5 crore.

Citing irregularities, Rajendra Jain, secretary, Vir Bhuvan Cooperative Housing Society, JVPD, says: 8220;No additional FSI can be granted by MHADA for road widening since MHADA has already exhausted the FSI. The advertisement for additional FSI is illegal. Moreover, these TDRs cannot be floated in the JVPD scheme without the consent of the leaseholder since the land originally was leased out by MHADA. But it has sold this FSI which has fetched it crores. I have brought this to the notice of the corporation and they have ordered a detailed inquiry.8221;

The written submission to Yogin Vyas pointed out that the entire area advertised by MHADA falls under setback area for road widening and has been offered on a first-come-first-serve basis to JVPD plot holders at the rate of Rs 2,550 per sq mt. Moreover, this plan has been sanctioned by MHADA and the BMC8217;s Building Proposals Department of BMC. A no-objection certificate has also been issued by the BMC to MHADA for the sale of this TDR.

Claiming that there are not irregularities, B S Kholse, estate officer, MHADA, states that the TDR advertised for sale has been generated from MHADA8217;s own land for which BMC has given the necessary sanction. Confirming this, GS Gill, CEO of MHADA says: quot;MHADA does not have the responsibility to inform the plot owners, whether it is freehold land perpetual lease agreements or leased out for road acquisition. In fact, additional FSI has been granted by the corporation and we are just selling it. It is the corporation who decide on the quantum of FSI to be sold and for these additional FSI in JVPD scheme, we had received BMC no-objection certificate last year.8221;

However, sources say the argument is baseless as there is no vacant land with MHADA in JVPD; the entire area has been leased to private parties or cooperative housing societies. For instance, road widening is underway on Road 1 on Gulmohar Road, where the leaseholders have not been given any notice stating that they will be given additional FSI as TDR. As per the agrument made by MHADA these plot owners will stand to lose their property for road acquisition with no compensation.

Nitin Killawala, an architect handling JVPD projects, argues: 8220;The price quoted as Rs 2,550 per sq mt is a throwaway price because here the quoted rates are higher. Besides, most of the land that belongs to MHADA has been given on perpetual lease.8221; Harish Bhattad, an architect handling the BMC8217;s licencing works says: 8220;Under the modified Maharashtra Regional Town Planning Act, it is possible for MHADA to sell setback TDR. The buyer has to develop the property and submit it to the corporation to claim additional FSI. But in this case, if MHADA8217;s land has already been leased to private parties, the TDR generated for road-widening cannot be sold without the consent of the lessees.8221;

Jain adds: 8220;MHADA has sold the TDR with a condition that the buyer cannot resell these rights and has to pay 2.5 per cent of the contract value as lease rental from next year. It is clear that the buyer has to be an existing leaseholder and selling it in open market is restricted.8221;

The use of TDR in the JVPD has kicked off much controversy due to the increased construction activity in the area. In fact, of the 100 plots where construction is underway, over 40 are tied up in litigation.