Work Resumes on India’s Longest Building

April 16, 2008	(Be the first to rate this story!)  Loading ...
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Work on the edifice touted as India’s longest residential building resumed after a three-year hiatus during which a PIL filed against the project went up to the Supreme Court. In February, the state government regularized the project as directed by the apex court and work resumed last month.

The building, though, will no more be the longest one as there will be a gap after every two buildings. Construction work on the over 1,000-ft-long, 22-storey building at Nerul along Palm Beach Road, Mumbai started in 2004 but was soon stalled after allegations that Cidco had favored the developer, Vijay Associates (Wadhwa Group).

However, sources say the regularization will generate a fresh round of controversy as some directives of the Supreme Court, observed in its order while suggesting regularization of the project, have not been followed.

The project ran into rough weather after Public Concern for Governance Trust (PCGT) filed a PIL in the Bombay high court in 2005 alleging various irregularities. The petitioners claimed that Cidco suffered a loss of crores as it allotted prime land on the “Marine Drive of Navi Mumbai” to six bogus housing societies.

In March 2004, Cidco allotted them the land at Rs 10,500 per sq m, whereas the market value was Rs 21,000 per sq m. In May 2004, Cidco agreed to allot another plot to the sixth society.

In January 2005, the six societies were amalgamated into one society, Ameya Cooperative Housing Society, and handed over all development rights to Wadhwa. Several members of the society resigned, many others undertook to resign and transfer their membership, leaving the field open for the builders to induct their own members.

The high court came down heavily on the way the transaction was carried out and set aside the allotment of 37,000 sq ft of land on Palm Beach Road. A report prepared by then additional chief secretary (planning) D Shankaran also raised questions on Cidco’s allotment of land and the conduct of V M Lal, the then vice-chairman and managing director of Cidco.

Wadhwa Group filed a special leave petition in the Supreme Court challenging the high court order. The Supreme Court, while setting aside the order last year, noted that undue advantage was shown to the cooperative societies concerned and, in the bargain, to Wadhwa Group.

As a huge amount has already been spent on the construction, the SC directed the state government to get a fresh valuation done, on the date on which the allotments were made with notice to PCGT.

Senior Counsel Chander Uday Singh, appearing for PCGT, said he had not been served any notice informing him of the development. Singh refused to comment further on the next course of action. Managing trustee of PCGT Dara Gandhi said he would gather the details before discussing the matter with his counsel.

The state government, in February this year, gave the go-ahead after the property was revalued. Sanjay Chabria, director of Wadhwa Group, said they followed the due process of law and the company paid Rs 1.5 crore as difference in price in keeping with a fresh revaluation.

“We have been allowed 1 FSI. It took us over a year to regularize the construction,” he said. The group plans to build a 22-storey residential structure subject to approval as there is a restriction on the height of the building.

A part of the building, which has become weak due to exposure to rough weather, is being demolished currently.

News Published Under:   Real Estate India |

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