Mumbai, October 19, 2026: The BMC’s proposed redevelopment of a civic-owned leased plot in Worli has triggered a political storm, with the Congress alleging serious irregularities in the allotment process and warning of a potential Rs 400 crore loss to the civic exchequer. In a letter to Municipal Commissioner Ashwini Bhide, Congress group leader Ashraf Azmi has demanded an immediate stay on the proposal.
Congress Seeks Vigilance Probe
Azmi has demanded a vigilance probe and a Comptroller and Auditor General (CAG) or BMC Municipal Chief Auditor audit into the proposed redevelopment of the 3,908.72-square-metre Khanna Construction House plot in Worli.
He claimed the BMC’s estate department issued a letter of intent on May 25 without inviting tenders and questioned the proposed annual ground rent of just Rs 1 per square metre, alleging that the mandatory state government approval for concessional rent had not been obtained.
Azmi pegged the plot’s value at Rs 332 crore to Rs 390 crore based on ready reckoner rates, alleging that the proposed rent over 60 years would total a mere Rs 2.34 lakh. He warned of a potential revenue loss to the BMC, but the figures and allegations have not been independently verified.
Questions Raised Over Tenant Rehabilitation
Azmi also questioned the rehabilitation of occupants, alleging that 21 families had been excluded from the redevelopment proposal. A G/South ward inquiry report dated July 14, 2026, recorded 43 occupants before the building was demolished in September 2022. He claimed that only 22 were recognised as tenants, 12 cases were under the court receiver and nine occupants were not on record.
Azmi demanded that the BMC submit the complete occupant list and supporting documents before the committee, alleging that affected families had received neither transit rent nor alternative accommodation since the demolition.
Redevelopment Rules And Clearances Under Scrutiny
He also questioned the shift in the redevelopment proposal from DCPR 33(7), under which it was initially submitted in October 2025, to Regulation 33(9), seeking an explanation for the proposed FSI of 3.39 and the basis for additional development rights and benefit-sharing between the BMC and the developer.
Citing the plot’s coastal location, he sought details of clearances from the Maharashtra Coastal Zone Management Authority and the Union Environment Ministry, along with a government valuer’s report and the developer’s financial credentials.
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Azmi has urged Bhide to put the proposal on hold pending scrutiny, order an inquiry into the lease and redevelopment process, and ensure payment of transit rent to all 43 occupants from September 2022.
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