Bombay HC Criticizes State and SRA for Delays in Wadala Redevelopment Project

📅 July 02, 2024

The Bombay High Court has strongly criticized the State government and the Slum Rehabilitation Authority (SRA) for failing to address the stalled redevelopment project in Wadala (E). The project, which has left occupants without their promised permanent accommodation or transit rent since 2013, prompted the court's sharp rebuke.

Background

Justices Mahesh Sonak and Kamal Khata, in their order on Wednesday, stated, "The State and the SRA cannot adopt such an approach to the matter when the occupants who vacated their premises in 2013 are neither close to getting their promised permanent accommodation nor any transit rent." The court was hearing a petition filed by 20 members of Shaikh Misree SRA CHS. Omkar Realtors and Developers Pvt Ltd, the original developer, stopped paying transit rent in 2015/2016, citing financial difficulties. To date, the rehabilitation building work has not started.

Developer Change Proposal

During a previous hearing, the SRA informed the court that lender J C Flowers Asset Reconstruction Pvt Ltd had submitted an application to take over the project, including Omkar’s assets and liabilities. However, the lender’s advocate, Vinod Kothari, clarified that their proposal only sought a change of the developer.

Court's Directives

The judges asserted that the petitioners are entitled to transit rent and "cannot be made to run from pillar to post to recover their dues." They criticized both the developer and the lender for their unwillingness to pay arrears and reprimanded the State and SRA for their inaction. "None of the respondents are serious about solving the petitioners’ most genuine problem," the judges noted.

They highlighted that Omkar, despite claiming financial incapacity, is unwilling to relinquish the proj