Inquiry ordered into below-estimate cost tenders for repair of cessed Mumbai buildings

Nagpur, Dec 10 (PTI) The Maharashtra government on Wednesday ordered an inquiry into tenders quoting "below estimated price" for repair works of old and dilapidated buildings in Mumbai, after allegations of irregularities were made in the Legislative Assembly.

During a debate on a calling attention motion concerning nearly 16,000 `cessed' buildings in south Mumbai, Congress MLA Amin Patel sought immediate government intervention to expedite their redevelopment.

He also said that tenders issued by the Maharashtra Housing and Area Development Authority (MHADA) attracted bids quoting 100 to 140 per cent below the estimated cost.

`Cessed buildings' are old, often dilapidated residential/commercial structures built before 1969 which pay a cess to MHADA for essential maintenance and repairs.

"The contractors, in the name of repairing dilapidated cessed buildings, construct a few illegal floors and mint money by selling the flats. If the buildings that go for repairs are seven-storey structures, they construct two or more additional floors," Patel said.

Replying to the issue, minister Shambhuraj Desai said officials had informed him about such practices in south Mumbai. "Additional Chief Secretary Aseem Gupta will conduct an inquiry into it and such contracts will be scrapped immediately," he said.

Patel also demanded that the government push for lifting the stay on the amendment to Section 79A of the Maharashtra Housing and Area Development Act, which allows MHADA to acquire cessed buildings declared unsafe (C-1 category). The Bombay High Court had stayed the amendment in July.

"If not acquired, many of these buildings have the risk of collapse in the forthcoming monsoon, endangering the lives of tenants," he said.

Desai said that MHADA approached the Supreme Court in August, and the next hearing is on January 15. "We have requested Solicitor General Tushar Mehta to represent the state government. We will apprise the apex court about the need for imposition of Section 79A to save human lives," he added. PTI ND KRK