The Chief Secretary,
Government of Maharashtra,
Mantralaya,
Mumbai - 400 032
Sub: Prime Minister’s Office letter No. PMOPG/D/2015/ 0164669 dated 21/07/2015 on the representation dated 17/07/2015 of Smt. Prabha Kiran, Chairperson, United Human Rights Federation.
Sir,
This is in reference to the letter No. PMOPG/D/2015/0164669 dated 21/07/2015 issued from the PMO to your good office for the appropriate action, on the representation made to the Hon’ble Prime Minister on 17/07/2015 by undersigned on behalf of the United Human Rights Federation (UHRF). The copy of the said letter dated 17/07/2015 though has been forwarded to you, we annexed herewith a copy of the same for your kind perusal and ready reference. We submitted to the Hon’ble Prime Minister as under :-
1. That there is rampant corruption in the project ‘Palais Royale’, being built by the developer Shree Ram Urban Infrastructure Ltd (SRUIL) and also in real estate projects of other Groups and Corporate Houses in Mumbai, Maharashtra where UHRF tried to expose the role of builders - politicians nexus in carrying such illegal construction and their promoting and encouraging unauthorized development in the cities affecting poor & common men and innocent investors.
2. The Developers, specifically said SRUIL has blatantly violated fundamental provisions of the Development Control Regulations and has carried out unlawful and illegal constructions in the ‘Palais Royale’ building without Commencement Certificate. The developer deliberately and with full knowledge has breached the ‘stop work’ notices dated 16.07.2011, 14.12.2011 and demolition notice dated 19.12.2011 issued under Section 53 of the Maharashtra Regional and Town Planning Act, 1966;
3. The Municipal Corporation of Greater Mumbai (MCGM) has arbitrarily granted unjustified concessions, sanctions and approvals to SRUIL and were silent spectators to the unauthorized constructions in spite of evident illegalities and gross violations. The illegal developmental activities of the developer are against the interest of common men and society at large and are being done in clear and flagrant violations and disregard to the provisions of law including the Development Control Regulations.
4. The then Municipal Commissioner, MCGM in an interview to the Times of India on 16.01.2012, himself has admitted the fact and inter alia stated that huge discretionary powers are given to the authorities which are misused. The article demonstrates that the Municipal Commissioner was and is well aware and conscious of the fact that free of FSI areas like flower beds, voids, ducts lobbies etc have been sold by the developer and converted into living areas. Several other such blatant violations as usually carried out by SRUIL being reported daily but nothing is being done in rectifying such violations.
5. The MCGM also in the year 2011 had unearthed the illegalities, fraud and irregularities of the Shree Ram Urban Infrastructure Ltd in building the project ‘Palais Royale’ and had ordered for an investigation of the illegal construction. It was found that 13 floors beyond 43rd floors were constructed without surrendering the land for Public Parking Lot (PPL) and without accruing of incentive FSI. The said 13 floors have been constructed without commencement certificate. This is in violation and contravention of the development control regulation and the MR&TP Act.
6. The PPL Building constructed later on by the developer, is also without any commencement certificate and has been constructed under the guise of ‘deeming provision’. The MCGM on 14.12.2011 issued a notice U/s 354A of the Mumbai Municipal Corporation Act to the SRUIL regarding the PPL building. The UHRF through its representative has also approached the office of the MCGM and has been able to obtain documents /complaints concerning the illegal and unauthorised construction being carried out in the project ‘Palais Royale’ and the Public Parking Lot.
7. It is further learnt that for the construction of Project ‘Palais Royale’, SRUIL has also availed thousands of crores of loan and advances from various public sector banks and financial institutions against the assets and properties knowingly that such construction is illegal and of without proper commencement certificate.
8. The huge investment of the investors and flat purchasers is at stake as the construction in the Project ‘Palais Royale’ beyond 43 floors (i.e. 13 floors in total) are patently illegal and in violation of the rules and bye-laws and in contraventions of Development Control Regulations without accruing incentive FSI of Public Parking Lot and without commencement certificate. The SRUIL has also taken/ collected more than Rs. 1000 Crores by selling the illegally built flats / spaces to the buyers in the Project ‘Palais Royale’ despite of the ‘stop work’ notices issued by the MCGM.
9. The errant Developers / builders of Mumbai are selling the spaces on super area basis in flagrant violation of the Court’s directions to sell the spaces on carpet area. The areas free of FSI such as flower beds, voids, ducts, lobbies gardens, swimming pools, refuge areas etc. in all the projects are being sold by the Developers. The Applicant has been able to collect copy of Brochures/Floor Plans of some Developers. On perusal of the same, we found various the violations in the name of ‘free of FSI’ as the developers/builders later on have clubbed these areas to the saleable space. The Applicant has identified some other projects in Mumbai with similar violations, namely-
i. Indiabulls Sky Forest Project, Lower Parel;
ii. Indiabulls Blu Project at Worli;
iii. ‘Avighna’ Project at Lower Parel;
(Group of Mr. Kailash Aggarwal)
iv. Omkar 1973 Project at Worli;
v. Orchid Heights Project at Worli;
vi. Satellite Group Sesen Project at Napean Sea Road;
vii. Oberoi Reality Project at Worli; and
viii. Singhania House Project at Warden Road.
10. The developers of the above projects are selling the spaces/flats to the investors on the Super Built-up Area and not on the Carpet Area as highlighted in “Green” on the Floor Plans as attached to the representation dated 17/07/2015 of the Applicant. These areas later on have been illegally included or merged with the flat area.
11. The construction of the PPL has been carried out by the developer despite the ‘Stop Work’ notice dated 16.07.2011 issued by MCGM. The said notice had been issued with respect to the entire Project and the entire layout of the property of developer/SRUIL. All the construction undertaken with respect to the PPL and the residential building ‘Palais Royale’, has been done in clear violations of law and against ‘Stop Work’ notices. As far as the residential building is concerned, there was no CC / permission to construct 44th floor to 56th floor, and most importantly these additional floors could not have been built till the developer / SRUIL handed over land meant for Public Parking to MCGM and accruing of additional FSI thereafter.
12. The developer - SRUIL despite having given undertakings that the refuge areas and fire escape passages would not be misused, yet the same are being sold to flat purchasers as useable carpet area forming part of the individual flat. The developer has also sold refuge areas, common areas, passages, flower beds, etc. as useable carpet area.
13. As per the records available from the MCGM, it is revealed that a setback area admeasuring 2442.87 sq. yds. situated in C.S. No. 289 of Lower Parel was acquired by BMC/MCGM for widening of the road near mill premises, and for the same BMC paid compensation to Shree Ram Mills Ltd /SRUIL in the year 1976. As per the MCGM records specifically in the letter dated 08.08.1992 issued by SE(Survey), MCGM to Mr. M.K. Kelkar, Architect of the Developer, it was clearly mentioned that area admeasuring 2442.87 sq.yds. along Fargusson Road i.e. G.Kadam Marg has been handed over and compensation paid.
14. After a period of about 8 years, the A.E. (Maint.), G/South, MCGM vide a letter dated 25.09.2001 informed E.E.B.P. (City), MCGM that – “the set back area of 2442.87 Sq. Yards along G.K. Marg has been taken over by this office in the year 1976, however, as per the available records, monetary compensation is not paid to party”. It has been further mentioned in the said letter that – “regarding the set back along G.K. Bhosale Marg, it is so far not taken over by this office”. It is pertinent to mention that the MCGM vide its letters dated 15.03.1976, 08.08.1992 and again on 16.06.1993 on its own has admitted to have received /taken over possession of setback area on 15.03.1976.
15. The erstwhile Municipal Commissioner, MCGM in its speaking order dated 12.09.2013, on the issue of FSI in lieu of setback area, while calling officers from the ULC Department, has also confirmed producing of the said letter dated 08.08.1992 before him by ULC Department. However, the Commissioner, MCGM has observed that- “in the absence of conclusive documentary evidence, the FSI advantage in lieu of handing over the set back area cannot be considered at this stage”.
16. The absence of “conclusive evidence” as mentioned in the Speaking Order dated 12.09.2013 of the Commissioner, MCGM signifies missing of documents concerning handing over possession of the land and receiving of monetary compensation by the developer / SRUIL. The files and details regarding the handing over – taking over and payment of compensation etc. were found not available in the office record of EEB (City); being the same are missing or misplaced. Later, taking advantage of it, SRM /SRUIL despite having received compensation availed extra FSI in the year 2013 in lieu of that and consumed the same in their said ‘Palais Royale’ building by concealing true facts and by misrepresentation.
17. The acts and conduct of the officials of the BMC and the SRUIL are illegal and of gross misconduct and requires thorough investigation. This is a serious FSI fraud collusively committed by the SRUIL, MCGM and their officials. An investigation in this regard is being done by Anti Corruption Bureau, Mumbai and the files/ records and register concerning the same are in the custody of ACB. However, the ACB despite having all the documentary evidences concerning the said project, in their custody, has not yet started investigation and they have not registered the case / FIR against the accused (the officials of developer SRUIL & MCGM) involved in the matter.
18. That in the said representation dated 17/07/2015, it is prayed, the applicant UHRF has prayed to :
i. Carryout an immediate and urgent investigation in the illegal affairs and irregularities of the real-estate development projects of various developers at Mumbai as mentioned hereinabove;
ii. pass strong directives and orders against such developers who were/are involved in illegal and unauthorized construction which are in violation of the Development Control Regulations & BMC/MCGM norms;
iii. direct for appropriate enquiry and investigation, register criminal cases against the developers & their officials, officials of BMC/MCGM involved and other person including the architects of the projects who have facilitated the developers/ builders for such unauthorized development;
iv. grant sanction/ permission or issue NOC to the EOW / Anti Corruption Bureau to investigate and register cases against the developers and government officials who are involved.
Sir, we have raised before the Hon’ble Prime Minister some serious and utmost important issues concerning the illegal developments / building activities by the developers at Mumbai since our representation dated 17/07/2015 has been forwarded to your good office for appropriate action, we at United Human Rights Federation seeks necessary and suitable action against all the persons involved in illegal and unauthorized constructions. Due to the non action on the part of the concerned authorities, rights, interest and investment of thousands of innocent common people in these projects at Mumbai is at stake. We believe that certain discipline is necessary is immediately required to reign in the errant developers in Mumbai Metropolis.
Thanking you,
Yours faithfully,
For United Human Rights Federation
(Prabha Kiran)
Chairperson.
Encl. : Copy of Representation dated 17/07/2015.
Copy to : 1) Sh. Devendra Fadanavis ji,
Hon’ble Chief Minister of Maharashtra
Chief Minister’s Secretariat
Mantralaya, Mumbai-400 032
2) The Chief Secretary
Department of Urban Development
Government of Maharashtra
New Administrative Building
Mantralaya, Mumbai-400 032
3) The Commissioner
Municipal Corporation of Greater Mumbai
Municipal Head Office
Mahapalika Marg, Mumbai-400 001
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