Mumbai, November 4, 2026: The Bombay High Court has dismissed petitions challenging recommendations to withdraw benefits granted under the State’s amnesty scheme for a stalled slum rehabilitation project in Jogeshwari East, clearing the way for the Slum Rehabilitation Authority (SRA) to invite fresh tenders and appoint a new developer.
Justice NJ Jamadar, on November 2, upheld the April 20 recommendations of the Apex Grievance Redressal Committee (AGRC), which proposed withdrawing the benefits extended to the financial institutions involved in the project and allowing the SRA to seek a replacement developer.
The petitions were filed by JC Flowers Asset Reconstruction Pvt Ltd and Manomay Ventures Pvt Ltd. The project, spread across around 50,000 square metres and covering 35 slum societies, is expected to rehabilitate around 7,200 eligible slum dwellers. It has remained stalled for nearly 18 years, leaving thousands of residents without permanent homes.
“A matter concerning thousands of slum dwellers, who have been left in the lurch, with no prospect of implementation of the slum rehabilitation scheme, even under the amnesty scheme, cannot be said to be beyond the jurisdictional competence of the AGRC,” Justice Jamadar observed.
Project Stalled For Nearly 18 Years
The project was initially awarded to Omkar Ventures Pvt Ltd, later restructured as Manomay Ventures, in 2009. The developer had availed of a Rs 780-crore loan from Yes Bank, which subsequently turned into a non-performing asset. The loan account was assigned to JC Flowers in December 2022.
Under the State’s amnesty scheme introduced in May 2022, financial institutions were allowed to step in as co-developers to complete stalled projects. JC Flowers and Piramal Capital and Housing Finance appointed Aspect Buildcon LLP as the new developer in September 2024. However, Aspect Buildcon expressed its intention to withdraw in October 2025.
Only One Rehabilitation Building Completed
The court noted that despite directions to appoint another developer, the financial institutions failed to do so. Meanwhile, only one rehabilitation building, housing around 107 families, has been completed, while two other buildings remain incomplete. Transit rent arrears have crossed Rs 90 crore.
“The amnesty scheme, therefore, cannot be construed as conferring a vested right in the financial institutions to the detriment of the object of the Slum Act, 1971, in general, and the slum dwellers, in particular,” the court said.
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State Government To Take Final Decision
The court clarified that the AGRC’s recommendations are not binding and the final decision will have to be taken by the State Government after considering the facts and circumstances.
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