Stops them from selling more than two flats to one person in Powai’s Hiranandani Gardens till further orders
The Bombay High Court on Thursday restrained Hiranandani Developers from selling amalgamated flats in Powai’s Hiranandani Gardens and said that it could not sell more than two flats to one person till further orders.
The HC’s interim order was passed in two PILs that have alleged that Niranjan Hiranandani and his firm, Hiranandani Developers, have violated a 1986 agreement for developing 230 acres of land under the Powai Area Development Scheme (PADS).
In March, a report submitted by the MMRDA confirmed that Hiranandani had violated the 1986 agreement by selling more than the permitted number of amalgamated flats. “It is noteworthy that despite the seriousness of the matter the government has not taken a final decision,” chief justice Swatanter Kumar and justice SA Bobde observed. Posting the matter for hearing on December 18, the court has asked all parties to file their replies.
According to the petitions, PADS was aimed at providing affordable housing to persons in the middle-income group. The agreement provided that 50% of the flats constructed by Hiranandani had to be less than 40 square metre (430 sq ft) in area and the rest could not exceed 80 square metre (861 sq ft). In 1989, Hiranandani was provided an exemption allowing it to merge flats but the amalgamated flats could not exceed 15 % of the total development.
The petitioners, Kamlakar Satve and Rajendra Thacker, have alleged that the area of the flats constructed by Hiranandani range between 1870 sq ft and 4925 sq ft.
According to advertisements issued by the Hiranandani Group, a three bedroom-hall-kitchen (BHK) in Powai is priced at Rs4 crore while a four BHK is pegged at Rs8 crore. The petitions have alleged that Hiranandanis used PADS for “unjust enrichment and illegal profit by catering to the super-rich.”
On March 3, 2008, a MMRDA report confirmed that Hiranandani had violated the 1986 agreement. However, on March 31, the state government asked MMRDA to conduct further investigations. It directed MMRDA to ask Hiranandani to deposit a penalty of mere Rs3 crore and allowed Hiranandani to carry out further construction.
The HC has allowed Hiranandani to sell only flats which have an area of less than 80 square metres.
The judges said that the developer could carry out further construction at its own risk.
m_anshika@dnaindia.net
