Court refuses to grant relief to Bombay Dyeing | mumbai | Hindustan Times
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Court refuses to grant relief to Bombay Dyeing

mumbai Updated: May 25, 2010 01:42 IST
HT Correspondent

Bombay Dyeing & Manufacturing failed to get any relief from the Bombay High Court on Monday in a case of redevelopment of 26 societies in Chembur.

Vacation judge, Justice S.J. Kathawala, refused to grant interim relief to Bombay Dyeing and kept its petition for hearing in June.

Bombay Dyeing moved the HC, challenging the termination of contract by 26 societies in Sahakar Nagar-1 at Shell Colony, Chembur, to redevelop their dilapidated buildings.

In 2008, 26 societies of around 300 members had invited bids to redevelop their buildings. The contract was finally awarded to Bombay Dyeing.

Despite repeated request from the core committee of Shell Colony, Bombay Dyeing failed to implement the scheme in the last two years.

As the buildings were more than 50 years old and Bombay Dyeing was not undertaking the redevelopment project, the members apprehending danger to their life and property, terminated the contract signed with Bombay Dyeing in January.

In April, the societies awarded the contract to Kamla Landmarc for redevelopment of their buildings. The societies even passed a resolution appointing Kamla Landmarc as their developer.

Bombay Dyeing, through their advocates, Solomon & Co, filed a petition in the high court under the Arbitration and Reconciliation Act, 1996 against the societies.

It sought that the high court stop the societies from appointing any other developer.

Advocates and solicitors for the societies, Naik Paranjpe & Company, opposed the Bombay Dyeing’s petition stating that the latter had not undertaken any redevelopment work in the past two years.

Considering that the buildings are more than 50 years old and dilapidated, urgent redevelopment needs to be undertaken, argued the societies.

Justice Kathawala refused to stay the revocation of contract of Bombay Dyeing and also awarding of redevelopment contract to Kamla Landmarc.