Mumbai: MHADA to take action against 42 builders for non-payment of Rs 118 crore rent

Mumbai: The Maharashtra Housing and Area Development Authority (MHADA) has decided to blacklist at least 42 builders who constructed transit camps and failed to transfer them back to the housing authority. The housing body is yet to recover at least Rs 118 crore of the outstanding amount in rent which is to be paid by the builders to MHADA. Out of the 42 builders, the housing authority has already taken action again 20, after issuing them stop work notice.

“We have recovered Rs 61. 81 crore as outstanding rent from 20 builders and the remaining have been booked under the MHADA Act,” said a senior MHADA official.  At least, 8424 homes in the transit camp are allegedly illegally occupied.

“These persons have been occupants in these transit and they have not been paying rent, nor transferring the camp to the housing authority,” added the official.  These 42 builders had undertaken redevelopment of cess buildings and Slum Rehabilitation Authority buildings since the past 30 years. “The people from these redevelopment projects have been given temporary accomodation in the transit camps,” added the official.

The MHADA officials said that these transit camps were not handed over by the builders or residents since the past three decades. “Hence the total amount outstanding rent is at least Rs 118 crore,” said the official  In 2016, MHADA conducted a drive to recover the outstanding rent from these builders by taking action.

“After the action by issuing stop work notice was initiated, few builders paid a total amount of Rs 61 crore. The people yet continued occupying these camps without payment rent which increased the outstanding amount,” added the official. The housing authority revealed that at least Rs 61. 81 crore was recovered between April 2016 to March 2018. “We seized the properties and froze the bank account of the remaining 22 builders as per rules under MHADA act,” said a senior official.

The officials said that in case the builders yet fails to pay the outstanding amount of rent, these builders would be blacklisted. ” We would send a proposal to the state government to blacklist these builders if they fail to pay the dues. Thereby, the transit camps would be handed over to housing authority,” added the official.