{"id":"f-ebdaa7ae0c-a5f6f60d-372c-557a-af44-abd5fcd2ee7f","title":"Bombay HC Orders SRA, MHADA To Take Action Against Defaulting Developers Over Non-Payment Of Rent","description":"","timestamp":1766033340,"category":"national_v_two","headline":"Bombay HC Orders SRA, MHADA To Take Action Against Defaulting Developers Over Non-Payment Of Rent","modifiedHeadline":"Bombay HC Orders Action Against Defaulters","subCategories":["scid_32ea1c2f"],"region":"IN","bundleMetaData":{"bundleId":"7b48871c-c993-4956-b43d-6f46f8e1b036","bundleTitle":"Today In India","cardData":null},"iabCategoryId":"383","fcSummary":"The Bombay High Court addressed petitions regarding unpaid rent in SRA and MHADA redevelopment projects. It directed authorities to freeze portions of developers' free-sale components, appoint more officers to handle rent disputes, and act against illegal tenement occupation, emphasizing the right to shelter.","summary":"Bombay HC directs SRA & MHADA to act against developers failing to pay rent. A ray of hope for struggling tenants awaits justice.","ctaUrl":"https://trends.glance.com/newz/India_News/IN/en/freepressjournal/f-ebdaa7ae0c-a5f6f60d-372c-557a-af44-abd5fcd2ee7f","sourceUrl":"https://www.freepressjournal.in/mumbai/bombay-hc-orders-sra-mhada-to-take-action-against-defaulting-developers-over-non-payment-of-rent/glance","bannerImage":"https://g-mob.glance-cdn.com/public/fc/image/B--EEQgSmHf0.webp","content":"

Mumbai, Dec 17: In a significant ruling in favour of eligible persons left without rent or tenements in redevelopment schemes undertaken by the Slum Rehabilitation Authority (SRA) and the Maharashtra Housing

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and Area Development Authority (MHADA), the Bombay High Court on Wednesday issued a slew of directions, including freezing 10–20 per cent of the free-sale component of defaulter developers.

More Officers To Be Appointed To Handle Rent Disputes\n

The court also directed the CEOs of SRA and MHADA, who were personally present in court, to appoint more than one officer to handle disputes relating to non-payment of rent.

Action Ordered Against Illegal Occupation Of Tenements

Further, the court directed the authorities to initiate action against those illegally occupying tenements. It ordered the constitution of a special cell to remove unauthorised occupants from redeveloped tenements meant for eligible persons.

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Court Hearing Over 67 Petitions On Non-Payment Of Rent

A bench of Justices Girish Kulkarni and Aarti Sathe was hearing nearly 67 petitions filed by several persons who had not been paid rent by developers for over two years. There are more than 100 such petitions raising grievances relating to non-payment of rent or illegal trespass into tenements meant for eligible beneficiaries.

Bench Expresses Displeasure Over Administrative Failure

The judges expressed displeasure over the manner in which the situation was being handled, observing that every matter was reaching the High Court for adjudication.

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“Why do all matters come to us? Settle them at your level. Appoint independent officers who will look into all disputes related to rent,” the bench remarked.

Non-Payment Of Rent Violates Right To Shelter: Court

Despite a Government Resolution directing developers to deposit two years’ rent in advance for eligible persons, there were continued defaults, the judges noted. They observed that non-payment of transit rent amounts to a violation of Article 21 (protection of life and personal liberty) and the constitutional right to shelter.

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SRA Recovers Rs 800 Crore In Outstanding Rent

Senior advocate Birendra Saraf, appearing as special counsel for SRA, said that the SRA has in the past couple of years taken proactive steps to recover arrears of rent and this has resulted in recovery of nearly Rs 800 crore of outstanding rent being paid.

“SRA has also taken action against developers. It has also initiated a suo motu audit of every scheme to find out the outstanding rents,” Saraf said.

Power To Attach Personal Properties Of Developers

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Saraf further added that by a recent amendment, the slum authority has been conferred powers to go against the personal properties of developers to recover arrears of rent and the SRA will now invoke that power too.

Court Directs Freezing Of Free-Sale Component

Agreeing with Saraf, the court said that the developers should be taken to task. It said that if they (developers) fail to pay rent, the authorities should freeze 10–20 per cent of the tenements in their free-sale component.

Single Officer Not Enough To Handle Disputes: Court

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SRA advocate Jagdish Reddy informed the court that the assistant registrar of SRA had been designated to decide disputes relating to non-payment of rent. However, the court observed that one officer would not be sufficient to handle the volume of disputes and directed the authority to appoint more than one officer.

Petitioners Seek Time-Bound Resolution And Deterrent Action

Advocate Altaf Khan, appearing for petitioners in eight petitions, urged the court to direct the authorities to decide disputes relating to non-payment of rent in a time-bound manner and to take strict deterrent action against defaulting developers. He also sought directions to initiate action against trespassers and ensure that eligible persons are allotted their tenements.

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Also Watch:

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SRA Asked To Submit List Of Default Cases

The court directed SRA to submit a list of cases where rent has not been paid, along with details of action already taken against developers and proposed future action. SRA also informed the court that it proposes to address grievances raised in other petitions within four weeks.

Next Hearing On December 23

The matter has been posted for further hearing on December 23.

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Bombay HC Orders SRA, MHADA To Take Action Against Defaulting Developers Over Non-Payment Of Rent

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