BMC scrapped Mulund hospital land deal after scam was exposed, alleges Kirit Somaiya

The BJP leader had alleged the civic body was purchasing the land at a much higher price for the benefit of a builder. P Velarasu, additional commissioner, said that BMC had informed the state government three months ago that it was not implementing the project.

Mumbai The Brihanmumbai Municipal Corporation (BMC) has informed the state government that it has scrapped its plan to acquire land for building a 5,000-bed hospital at Mulund. Bharatiya Janata Party (BJP) leader Kirit Somaiya alleged that the proposal was scrapped after he revealed a scam in the proposed purchase of land by the Shiv Sena-ruled civic body. He had alleged the civic body was purchasing the land at a much higher price for the benefit of a builder.

BJP leader Kirit Somaiya had filed complaint with the Lokayukta for an inquiry into his allegations about the hospital land deal. (HT FILE)

Somaiya had filed complaint with the Lokayukta for an inquiry into his allegations that the builder, who owned the land, stand to get undue benefit due to the civic body’s decision. On Wednesday, he produced the letters written by BMC to the state government in which the civic body informed to have scrapped the project.

In its letter to state urban development department dated January 11, director, land acquisition, BMC stated, “We had issued expression of interest for the 5,000-bed hospital in Mumbai and for further acquisition of land under the existing laws. Of the two EOIs we received, one for the land at Mulund was suitable for the hospital, according to the committee appointed for the project. However, since the land originally was owned by the government, BMC, on October 6, has informed the state government to pursue the proposal at its own level. Since BMC is not implementing the project, the EOI has been cancelled and earnest money received from the bidders has been given back.” The letter is part of the documents obtained by Somaiya under a right to information (RTI) query.

Somaiya in a press conference on Wednesday said, “The (Uddhav) Thackeray government had planned to acquire the land parcel for ₹2,100 crore. The municipal commissioner had directed his department to pay the price to the builder who is very close to the political leadership. The land acquisition would have benefited the builder and led to the escalation of the cost of the hospital to ₹12,000 crore. It needs to be inquired into as to by whose directive the decision of the land acquisition was taken. The proposal has now been scrapped only after we unearthed the scam. Strict action should be taken against the official from BMC involved in the scam.”

P Velarasu, additional commissioner, BMC, said, “We have informed the state government three months ago that BMC is not implementing the project. Further decision about the project will now be taken by the government.”