'Valuable Municipal Land Cannot Be Diverted Without Due Process': Bombay HC Questions Mahalaxmi Dhobighat Redevelopment

'Valuable Municipal Land Cannot Be Diverted Without Due Process': Bombay HC Questions Mahalaxmi Dhobighat Redevelopment

The Bombay HC questioned the inclusion of Mahalaxmi’s 170-year-old Dhobighat drying area in a slum redevelopment project, noting that valuable municipal land cannot be diverted without due process. The court sought explanations from the BMC, SRA and developer over the land’s inclusion and rehabilitation of Rassiholders.

Urvi MahajaniUpdated: Friday, August 21, 2026, 06:41 AM IST
'Valuable Municipal Land Cannot Be Diverted Without Due Process': Bombay HC Questions Mahalaxmi Dhobighat Redevelopment
Bombay HC has sought explanations over the inclusion of the traditional Mahalaxmi Dhobighat drying area in a slum redevelopment project | AI Generated Image (Photo Credits: Vijay Gohil)

Mumbai, August 20, 2026: The Bombay High Court has questioned how a 170-year-old Dhobighat drying area at Mahalaxmi, traditionally used by hundreds of washermen, came to be included in a slum redevelopment project, warning that valuable municipal land cannot be diverted without following due process and protecting the rights of those who have used it for generations.

Court Seeks Detailed Explanations

A bench of Justices Girish Kulkarni and Neela Gokhale, on August 18, sought detailed explanations from the Brihanmumbai Municipal Corporation (BMC), Slum Rehabilitation Authority (SRA) and the developer over the decision to include the open land in the project.

The petitioners said the land has been used since 1851 by ‘Rassiholders’ for drying clothes and that around 720 Rassiholders had historically been recognised. They said the land was never occupied by slum structures and was instead an open municipal plot forming part of the heritage Dhobighat precinct.

The land has now been included in a slum redevelopment scheme being implemented by Resonant Realtors Projects Pvt Ltd, formerly known as Omkar Realtors and Developers Pvt Ltd, for Sai Baba Nagar Co-operative Housing Society.

Rehabilitation Concerns Raised

The petitioners claimed that a non-slum plot measuring 7,724.61 sq m was being used for the project and its FSI was being utilised for redevelopment of a slum area nearly five times larger. They said the Rassiholders, however, were being offered only mechanised drying machines after completion of the project, instead of rehabilitation benefits.

“If what is being canvassed by the Petitioners is the correct position, this would really intrigue us,” the bench observed, questioning whether rights recognised since 1851 could be extinguished in such a manner.

The court also noted that the Maharashtra Slum Areas (Improvement, Clearance and Redevelopment) Act, 1971 recognises “community economic activity areas”, which include drying areas and other facilities used by Rassiholders for their traditional livelihood.

HC Flags Municipal Land Diversion

“The situation is not only peculiar but alarming,” the bench said, noting that the rights of persons using the Dhobighat area since 1851 had “substantially crystallized”.

The court further said, “these valuable public lands cannot be just thrown out” from the public pool of land maintained by the BMC and used for a forced redevelopment scheme.

The bench directed the Additional Municipal Commissioner to file an affidavit explaining the entire decision-making process through which the municipal land was included in the slum scheme. The affidavit must be approved by the Municipal Commissioner.

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The developer and SRA have also been directed to explain how the non-slum drying area was included in the project and how the FSI attached to the land was approved for redevelopment.

The HC has kept the matter for hearing on September 1.

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