'Alarming Situation Where Large Number Of Citizens Are Homeless': Bombay High Court Expresses Concern Over Unfinished Development Projects

The Bombay High Court last week took judicial notice of the fact that developers have failed to complete slum schemes/redevelopment projects in time, leading to a spate of litigation in this respect.

Recording its concern the Bench of Chief Justice Dipankar Datta and GS Kulkarni remarked,

"This has created an alarming situation, to the effect that large number of citizens are homeless and are made to suffer at the hands of such developers."

The Court was hearing a plea moved by Shakil Mohammad and 36 others, tenants of corporation land handed over to a developer in 2015 for the construction of a building. The building that originally stood in the area was demolished to make way for the new one, the Chief Justice's Order narrates.

Alarmed that that construction on the proposed building progressed only to the plinth level despite the passage of five years, the Bench expressed concern that the petitioners were without a roof over their heads since then.

The Court also noted that "such developers have no wherewithal to undertake a redevelopment project."

Therefore, the Court called upon the Municipal Corporation is to file an affidavit explaining the steps it proposed to take with regard to the project in question.

Apart from this, certain broader questions were also posed to the Corporation in respect of its policy on redevelopment.

The Court queried whether:

1. the existing policy that allowed tenants of corporation land ("a public largesse", as the Court stated) to hand over property to developers unable to undertake such a project can be sustained,
2. there was a need to draw up a new policy where only bona fide, genuine and competent developers who could fulfil expected norms and complete the construction were allowed appointment
3. such developers could be appointed "only by the municipal corporation."

Additionally, the Court asked the State Government to consider the question of maintaining a panel of competent developers who could be entrusted with the work of development/re-development.

A decision on this count was imperative to ensure that projects were completed in a timebound manner and "there would be certainty of a roof over their heads."

"This is also the object of the relevant social legislations", the Bench added.

The Bench therefore directed the State Government and the Municipal Corporation to file affidavits in this respect.

Advocate M.A. Khan argued the petitioners. AGP Shamrao B. Gore appeared for the State. Advocates Chandra Naik and Chaitali Gosavi appeared for respondents 5 and 6, while Advocate Oorja Dhond represented MCGM.

Click here to download the judgment