Hc Directs Mhada Not To Insist On Noc For Bldg Reconstruction, ET RealEstate

September 2, 2023

MUMBAI: The Bombay high court has directed the Maharashtra Housing and Area Development Authority (Mhada) not to insist on an NOC from any previous developer or architect when the housing society of a seven-storey building at Kherwadi, Bandra (E) that collapsed 25 years ago decides on a new developer and submits a proposal for its reconstruction.

“This is a most unfortunate matter. It goes back to the year 1998. That year, a building known as Govinda Tower collapsed. In that disaster, 33 lives were lost. Nothing seems to have been done since, and in 2001 this petition was filed,” said Justices Gautam Patel and Kamal Khata on August 25.

The judges allowed an interim plea in a pending petition by some residents to delete the name of the developer, A A Estates Pvt Ltd, an RNA Corp Group company. The petitioners said that nothing was done by it since 2012 to construct the building. The judges noted that Mhada had leased the plot. Originally, developer Jairam Chawla of Apex Gas Services and hotelier Dilip Datwani had agreed to reconstruct the building. They brought in AA Estates which “is in all kinds of difficulties and has been in such difficulties for a long time.” It is now in insolvency proceeding before NCLT and an interim resolution professional (IRP) is appointed. The judges noted that there was no registered agreement with AA Estates. The petitioners urged the HC to permit them to appoint a developer of their choice to get the construction done. The judges said they have to see that it is the society, not some individual, that appoints a developer.” They were shown an August 14 resolution by 18 member society called Kherwadi Rajhans CHSL to appoint Rosate Estate Pvt Ltd/Roxwell Maxam Construction Ltd as the developer. Directing the society to be joined as respondent, the judges said the society and the developer will negotiate terms and conditions. Also, IRP, AA Estates or anybody else cannot object to this provided the society/new developer complies with all Mhada requirements, rules, regulations, payments etc. and any property tax issues.They will hear the other prayers – for investigation into the collapse, affixing liability and compensation on October 3. “It is unfortunate that the petition has to be kept pending for that purpose. We do not want to drive the petitioners after all this time to the remedy of a civil suit with the attended complications,’’ they added.

  • Published On Sep 2, 2023 at 09:21 AM IST

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