Maharashtra Orders Vigilance Audit After Rs 2,000 Crore Housing Scam Allegations In Mumbai

Mumbai, March 17: The Maharashtra government has ordered a vigilance audit into alleged irregularities in housing schemes across the city following claims of a multi crore scam. The audit report is expected within 30 days, marking a significant step towards examining the functioning of key urban housing projects.

The issue was raised in the legislative assembly, bringing attention to alleged large scale violations in development practices.

Allegations of misuse of housing provisions

The controversy centres around the alleged misuse of provisions under Development Control Regulations related to in situ permanent transit camp housing and project affected persons schemes. These provisions are meant to ensure housing for displaced residents and vulnerable groups.

It has been alleged that developers showed such housing in approved plans to avail additional development benefits, but instead constructed and sold commercial units and premium residential apartments. The scale of these alleged violations is said to run into thousands of crores across Mumbai.

Government flags irregularities, action likely

The state government acknowledged that certain irregularities have been identified in some projects. Officials noted that in several cases, developers failed to hand over the mandatory housing stock to authorities despite receiving additional floor space benefits.

Stop work notices have already been issued in select cases. Authorities have indicated that strict action will be taken if it is found that violations were overlooked by civic officials.

Policy review on housing and relocation

Alongside the audit, the government has initiated a review of policies related to the relocation of slum dwellers. Concerns have been raised over instances where beneficiaries are shifted beyond the prescribed five kilometre radius from project sites.

The review is expected to lead to possible policy changes after detailed consultations. The outcome of the audit and the policy review is likely to have a wider impact on housing regulation and urban development practices in Mumbai.

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