Bombay Parsi Punchayet Trustees Move Charity Commissioner Over Housing Tenancy Conversion, Question Majority Board Decision

Mumbai: Three minority trustees of the Bombay Parsi Punchayet (BPP) have approached the Charity Commissioner against four majority trustees over the conversion of leave-and-licence agreements into tenancies, escalating a dispute over the management of the community trust’s housing properties.

Tenancy Registrations Begin Amid Dispute

The move comes days after the BPP began registering tenancy deeds for flats in its housing colonies, with the first set of agreements registered on Tuesday.

In a statement, trustees Anahita Desai, Adil Malia and Hoshang Jal said they had initiated proceedings against chairman Viraf Mehta and trustees Armaity Tirandaz, Maharukh Noble and Xerxes Dastur. They alleged that 38 questions raised by them remained unanswered and that essential documents, including trust deeds and donor letters, had not been shared.

Trust Properties And Donor Intentions Cited

The three trustees said they had initially sought to resolve their concerns within the board but were compelled to seek the Charity Commissioner’s intervention to protect the trust’s properties, donors’ intentions and the Parsi-only covenants governing the housing colonies.

The dispute centres on a resolution passed at a BPP board meeting on June 9. Desai, Malia and Jal have questioned the absence of a comprehensive written framework for the conversion, arguing that it could lead to inequities among residents.

Viraf Mehta Cites Due Diligence

Mehta was not available for comment. He had earlier said the decision had been taken after due diligence and approved by a majority of trustees. He said registrations would proceed as residents became ready to pay the applicable stamp duty.

Mehta said the tenancy arrangement was intended to protect residents and the trust from potential litigation. He argued that leave-and-licence agreements had originally been used to safeguard the Parsi-only covenant and prevent non-Parsis from claiming tenancy rights in the colonies.

Different Occupancy Categories Termed Unfair

Dastur said he believed having two categories of occupants in the colonies was unfair. “This plan offers uniformity. Anyway, the scheme is being offered only to those who can pay the stamp duty on rental agreements,” he said.

The exercise is being undertaken in two phases, with the first covering flats allotted free of cost. The trust will obtain tax opinions before proceeding with flats allotted against deposits, Dastur said.

The BPP has around 4,000 housing units. Approximately 1,500 flats across 16 colonies, including Cusrow Baug, Godrej Baug, Khareghat Colony and Rustom Baug, are allotted free of cost, while about 400 are given on a deposit basis.

Dastur said converting leave-and-licence deposits into donations would reduce the BPP’s liabilities. “It is about time we shift and give occupants the option to move to tenancy,” he said, adding that future changes to the Maharashtra Rent Control Act, 1999, which came into force on March 31, 2000, could provide greater safeguards for occupants.

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