High Court of Judicature at Bombay Hears Petitions in Slum Rehabilitation Scheme Dispute — Petitioners Seek Commencement Certificate and Challenge Stop Work Notice. Petitioners Invoke Regulation 2.8 of DCPR 2034 Deemed NOC Against Non-Issuance of CC and Dispute Inclusion of 66 PAPs in Supplementary Annexure-II Contrary to Supreme Court Order Recording 47 PAPs.

High Court: Bombay High Court Bench: BOMBAY
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Case Note & Summary

The dispute arose from a Slum Rehabilitation Scheme for redevelopment of a plot bearing F.P. No. 187 (pt.) at Vile Parle, Mumbai. Respondent No.4, a society of slum dwellers, appointed the petitioner developer in November 2020. The petitioner submitted a proposal under Circular No.144 and DCPR 2034, which was accepted by Respondent No.2 (Slum Rehabilitation Authority) on condition that occupants of the adjoining DP Road be accommodated as Project Affected Persons. An NOC was issued on 11 April 2022 with the same condition, followed by a Letter of Intent dated 4 May 2022 and Intimation of Approval dated 10 May 2022. Non-cooperating slum dwellers challenged the LOI and IOA before the Apex Grievance Redressal Committee, which quashed the LOI on 28 July 2022 on grounds that the proposal excluded the DP Road Plot and circumvented Circular No.144's 51% consent requirement. The High Court allowed writ petitions filed by the developer and society on 2 April 2024, setting aside the AGRC order and reinstating the LOI and IOA. The Supreme Court dismissed the special leave petition on 13 May 2024, recording the developer's assurance to rehabilitate 47 DP Road occupants. Subsequently, Respondent No.2 issued a Stop Work Notice on 21 June 2024 requiring certified Annexure-II and compliance with Circular No.210 (deposit of two years' advance rent and post-dated cheques). The petitioner deposited rent for structures in phases and the notice was withdrawn with conditions. A revised IOA was issued on 21 November 2024, and the petitioner applied for a commencement certificate. Respondent No.2 cited non-compliance and non-submission of NOCs, and the petitioner invoked Regulation 2.8 of DCPR 2034 for deemed NOC. On 19 September 2024, a survey of the DP Road Plot was conducted, and on 7 January 2025, a supplementary Annexure-II was published listing 66 PAPs instead of 47. The petitioner's architect confirmed compliance with all conditions by letter dated 11 February 2025, but no commencement certificate was issued. The writ petitions were filed challenging the withholding of the commencement certificate and related actions. The provided judgment excerpt ends at paragraph 19 and does not include the final decision or operative directions.

Headnote

A) Slum Rehabilitation - Commencement Certificate - DCPR 2034 Regulation 2.8 - Deemed NOC - The petitioner contended that upon submission of all NOCs and application, the failure of Respondent No.2 to issue CC within prescribed period attracted deemed NOC. The court considered the sequence of survey, supplementary Annexure-II publication, and non-compliance communications, but final decision not included in excerpt (Paras 15-19).

B) Slum Rehabilitation - Apex Grievance Redressal Committee - Challenge to Letter of Intent and Intimation of Approval - Variance between proposal and sanctioned scheme - Non-cooperating slum dwellers challenged LOI and IOA on grounds that proposal was only for Final Plot No. 187 and not DP Road Plot, and that exclusion of DP Road Plot circumvented Circular No. 144's consent requirement. The AGRC had quashed LOI, but High Court set aside AGRC order and reinstated LOI/IOA, which was affirmed by Supreme Court's dismissal of SLP (Paras 7-9).

C) Slum Rehabilitation - Stop Work Notice - Compliance with Circular No. 210 - Deposit of advance rent and post-dated cheques - Respondent No.2 issued Stop Work Notice requiring certified Annexure-II for PAPs and compliance with Circular No.210 regarding rent deposits. Petitioner deposited rent for structures in phases, leading to withdrawal of Stop Work Notice with condition that PAP structures not be demolished until finalization of Annexure-II (Paras 10-12).

D) Slum Rehabilitation - Supplementary Annexure-II - Inclusion of PAPs - Discrepancy in Number of PAPs - The Supreme Court order recorded 47 occupants of DP Road, but Respondent No.2 published supplementary Annexure-II on 7 January 2025 including 66 PAPs, creating a discrepancy that formed part of the dispute (Paras 9, 17).

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Issue of Consideration

Whether respondent authorities were justified in withholding the commencement certificate and issuing stop work notice despite the petitioner's compliance with DCPR 2034 Regulation 2.8 and Circulars; whether the inclusion of 66 PAPs in supplementary Annexure-II instead of 47 was lawful; whether the petitioner was entitled to deemed NOC under Regulation 2.8.

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Law Points

  • DCPR 2034 Regulation 2.8 provides deemed NOC if not given within 60 days
  • Circular No. 144 requires 51% slum dwellers consent
  • Circular No. 210 requires deposit of two years' advance rent and post-dated cheques
  • Slum Rehabilitation Scheme must include Project Affected Persons
  • AGRC has jurisdiction to review LOI and IOA
  • Challenge to LOI and IOA on variance between proposal and sanctioned scheme
  • Inclusion of PAPs in supplementary Annexure-II must be certified by MCGM
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Case Details

2025 LawText (BOM) (08) 74

Writ Petition (L) No. 18500 of 2025 with Writ Petition (L) No. 18923 of 2025 and Interim Applications (L) No. 24087 of 2025 and 24090 of 2025

2025-08-22

G. S. Kulkarni, Arif S. Doctor

2025:BHC-OS:14012-DB

Mayur Khandeparkar i/b Rishi Nirav Bhatt, A. Y. Sakhare Sr. Adv. a/w Makarand M. Kale i/b Yogesh S. Sankpal, P. K. Dhakephalkar Sr. Adv. i/b Piyush Deshpande, Dr. Milind Sathe Sr. Adv. a/w Bhushan Deshmukh, Ms. Ravleen Sabharwal i/b R S Justicia Law Chambers, Ms. Lavina Kriplani AGP, Mr. Vikrant Parashurami AGP, Makarand M. Kale i/b Yogesh S. Sankpal, Rishi Nirav Bhatt, Firoz Bharuch i/b M/s. Pandya & Poonawala, Ms. Farida Poonawala Tata, Atul Damle Sr. Adv. a/w Ms. Payal Vardhan, Ms. Reena Salunke a/w Ms. Rupali Adhate i/b Ms. Komal Punjabi

Shree Gurukrupa SRA Co-op Hsg Sty (Petitioner in WPL/18500/2025); Sateri Builders & Developers LLP (Petitioner in WPL/18923/2025)

Minister of State, Home (Rural) Housing School Education Co-operative Mining Department & Ors.

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Nature of Litigation

Writ petitions under Article 226 of the Constitution challenging the withholding of a Commencement Certificate and related actions in a Slum Rehabilitation Scheme, invoking deemed NOC under DCPR 2034 Regulation 2.8.

Remedy Sought

Petitioners sought issuance of a Commencement Certificate, implementation of the Slum Rehabilitation Scheme, and enforcement of deemed NOC under Regulation 2.8 of DCPR 2034; they also challenged the Stop Work Notice and the inclusion of 66 PAPs in supplementary Annexure-II.

Filing Reason

The respondent authorities failed to issue a Commencement Certificate despite the petitioner's alleged compliance with all conditions, and issued a Stop Work Notice; the supplementary Annexure-II included more PAPs than recorded by the Supreme Court, causing delay in project implementation.

Previous Decisions

The AGRC quashed the LOI on 28 July 2022; the High Court set aside the AGRC order and reinstated LOI and IOA on 2 April 2024; the Supreme Court dismissed the special leave petition on 13 May 2024, recording the developer's assurance to rehabilitate 47 DP Road occupants.

Issues

Whether the respondent authorities were justified in withholding the Commencement Certificate despite the petitioner's compliance with conditions and invocation of Regulation 2.8 of DCPR 2034. Whether the Stop Work Notice dated 21 June 2024 was arbitrary and contrary to the Supreme Court order. Whether the inclusion of 66 PAPs in supplementary Annexure-II instead of 47 was lawful. Whether the petitioner was entitled to deemed NOC under Regulation 2.8 of DCPR 2034 after expiry of 60 days from application.

Submissions/Arguments

Petitioner contended that it complied with all conditions for issuance of CC, including submission of NOCs and deposits, and that non-issuance of CC within 60 days triggered deemed NOC under Regulation 2.8 of DCPR 2034. Petitioner argued that the Stop Work Notice was unjustified and that the inclusion of 66 PAPs in supplementary Annexure-II contradicted the Supreme Court order recording 47 PAPs. Non-cooperating slum dwellers argued before AGRC that the LOI and IOA were invalid because the proposal varied from the sanctioned scheme, excluded the DP Road Plot to circumvent Circular No.144's 51% consent requirement, and amounted to impermissible review of an earlier decision. Respondent authorities cited non-compliance with requirements such as missing NOCs, CRZ clearance, civil aviation authority approval, and lack of joint inspection, leading to withholding of CC.

Judgment Excerpts

This Court, vide a common order dated 2nd April 2024, was pleased to allow both the Writ Petitions, setting aside the order dated 28th July 2022 passed by the AGRC and reinstating the Petitioner’s proposal for redevelopment, i.e., the LOI dated 4th May 2022 and the IOA dated 10th May 2022. The Hon’ble Supreme Court, by its Order dated 13th May 2024, dismissed the SLP in the following terms: “The learned senior counsel appearing for the first respondent has invited our attention to paragraphs 4 and 5 of the affidavit dated 9th May, 2024. He states that in addition to 164 slum dwellers mentioned in paragraph 4 of the affidavit, the first respondent will provide the similar benefit of accommodation/rehabilitation to 47 occupants of D.P. Road (Dayaldas Road) abutting Final Plot No. 187 in the Slum Rehabilitation Scheme. Eventually, on 19th September 2024, Respondent No. 2 conducted a survey of the DP Road Plot and, three months thereafter, on 7th January 2025, published the supplementary Annexure – II in respect of the PAP’s, which included the names of 66 PAPs and not 47 PAP’s as recorded in the Order of the Hon’ble Supreme Court.

Procedural History

In November 2020, the petitioner was appointed as developer by Respondent No.4 for redevelopment of F.P. No. 187 (pt.) under a Slum Rehabilitation Scheme. On 2 December 2020, a proposal was submitted under Circular No.144 and DCPR 2034; on 29 December 2020, draft Annexure-II was submitted; on 19 January 2021, verification was done by AMC & CA. On 25 February 2021, Respondent No.2 accepted the proposal with condition to accommodate DP Road occupants as PAPs. On 11 April 2022, Respondent No.6 issued NOC with same condition. LOI dated 4 May 2022 and IOA dated 10 May 2022 were issued. Non-cooperating slum dwellers challenged the LOI and IOA before AGRC, which quashed the LOI on 28 July 2022. The High Court set aside the AGRC order on 2 April 2024 and reinstated the LOI and IOA. The Supreme Court dismissed the special leave petition on 13 May 2024. Respondent No.2 issued a Stop Work Notice on 21 June 2024 requiring certified Annexure-II and compliance with Circular No.210. The petitioner deposited rent for 14 structures and later for 70 structures; the Stop Work Notice was withdrawn with conditions. A revised IOA was issued on 21 November 2024, and the petitioner applied for a commencement certificate the same day. Respondent No.2 sought NOCs; on 9 December 2024, a letter was sent for NOC under Regulation 2.8 of DCPR 2034. On 19 September 2024, a survey of DP Road Plot was conducted; on 7 January 2025, supplementary Annexure-II was published with 66 PAPs instead of 47. On 26 December 2024, Respondent No.2 cited non-compliance for CC; the petitioner's architect confirmed compliance on 11 February 2025. The writ petitions were filed thereafter.

Acts & Sections

  • Development Control and Promotion Regulations, 2034 (DCPR 2034): Regulation 2.8, Regulation 33(10)
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