HC directs MHADA to issue OCs in city’s largest redevelopment project

The Bombay high court on Tuesday directed the Maharashtra Housing and Area Development Authority (MHADA) to provide an occupancy certificate (OC) to the rehabilitation and free sale component buildings in the Patra Chawl and Siddharth Nagar Redevelopment Project at Goregaon within two weeks

The Bombay high court on Tuesday directed the Maharashtra Housing and Area Development Authority (MHADA) to provide an occupancy certificate (OC) to the rehabilitation and free sale component buildings in the Patra Chawl and Siddharth Nagar Redevelopment Project at Goregaon within two weeks.

HC directs MHADA to issue OCs in city’s largest redevelopment project

The order comes as a relief to the 672 tenants of the two areas as well as some of the 1,700 buyers who purchased flats in the saleable component but were unable to take possession in the absence of an OC. In 2019, MHADA had refused to issue the OC, as the developers had not completed the rehab component.

In the previous hearing on February 22, the bench of Justice Gautam Patel and Justice Neela Gokhale, while taking note of the mismanagement of the project, had said, “The entire project is out of balance. The free sale component has proceeded, and at least two of the three towers made by Respondent No. 2 (Ekta Everglade Homes Pvt Ltd) are complete and are awaiting an OC. Other developers may be at different stages of development. The last indication from 2018 was that about 68 percent of the rehabilitation component was done. One of the developers in charge of that component, Respondent No. 3 (Guru Ashish Construction Pvt Ltd), is now in liquidation although it had completed part of that rehabilitation construction.”

Keeping in mind the plight of both buyers and original tenants—who had given up their homes since 2010 for the redevelopment project—the bench noted, “Our first—and primary—concern is about those entitled to rehabilitation. Even if that requirement can be partly met, it will be a step forward. But this will have to be done in a systematic fashion. The second concern is about those who have paid… for free sale units but cannot take possession for want of an OC.”

In light of Guru Ashish Construction undergoing liquidation, the HC had then asked MHADA to update it on the status of the rehabilitation component. In the hearing on March 2, Manisha Jagtap, the counsel for MHADA, had informed the bench that the agreement with Guru Ashish had been cancelled and MHADA had taken possession of the plots earmarked for the rehabilitation component.

The bench had then directed MHADA to file an affidavit “only to state what MHADA proposes to do regarding the development of those MHADA plots”. In the hearing on March 21, the order to issue an OC within two weeks was passed. “We are waiting for the written order to be uploaded so that we can proceed as per the court’s directions,” said Milind Borikar, Chief Officer, MHADA.

Speaking to Hindustan Times, Prof M H Kalra, one of the petitioners, said, “I learnt from my lawyers that the high court has given us a favourable order and directed MHADA to issue the OC within two weeks. I am grateful to the judges.”