TMC faces ₹2,560-crore sewer, footpath scam allegations

Civic leaders have demanded the immediate release of a white paper and a comprehensive probe into the alleged discrepancies. The criticism comes nearly a week after the announced ₹6,221-crore budget for the 2026–27 financial year

Thane: The Thane Municipal Corporation (TMC) has come under fire from both ruling and opposition members over allegations of large-scale financial irregularities, including a purported ₹2,560 crore scam linked to sewerage and footpath works.

TMC faces ₹2,560-crore sewer, footpath scam allegations

Civic leaders have demanded the immediate release of a white paper and a comprehensive probe into the alleged discrepancies. The criticism comes nearly a week after the announced ₹6,221-crore budget for the 2026–27 financial year.

According to the allegations, despite substantial allocations for solid waste management and infrastructure, ground conditions across the city remain poor, with open drains, uncollected garbage, and damaged or encroached footpaths. These claims have raised questions over the civic body’s functioning, particularly after it reportedly secured a “three-star” rating for ‘Water Plus’ and ‘Garbage Free’ status for the first time. The absence of clarity on the awarding agency has further fuelled concerns.

Separately, leaders have also flagged an alleged ₹2,000 crore irregularity in the allocation of TMC-owned properties. They claimed that civic assets were being allotted to ineligible or “fake” beneficiaries and called for a detailed audit of the property department.

The issue was raised during Saturday’s general body meeting by BJP corporator Mrinal Pendse, who pointed out that TMC had received ₹4,953 crore in development funds from the state government over the past four years, with ₹2,560 crore earmarked for sewerage and footpath projects. She questioned the lack of visible improvement on the ground despite such significant expenditure.

Pendse also criticised what she termed “administrative inaction” during the period when the civic body was run by officials in the absence of elected corporators. Alleging serious irregularities in project execution, she warned of intensifying her agitation if a detailed investigation is not initiated.

Shanu Pathan, opposition leader, TMC and NCP (SP) corporator from Mumbra, said, “When the TMC has already received around ₹5,000 crore, why is it taking a loan by issuing green bonds worth ₹62 crore for its solid waste management expenses? I am surprised, does any municipality receive a star rating by taking loans and spending on its basic needs? I was surprised to learn from the TMC commissioner during his budget speech last week that the TMC has received a three-star rating for achieving ‘Water Plus’ and ‘Garbage Free’ status for the first time. However, he did not disclose the name of the agency. We all wish to know which agency has given this rating to the TMC.”

As per the budget presented last week, a fund of ₹648.19 crore has been earmarked for solid waste management for the financial year 2026–27.