Bombay High Court Reviews Challenges to Slum Rehabilitation Orders Under Maharashtra Slum Areas (Improvement, Clearance and Rehabilitation) Act, 1971 — Dispute Over Competing Developer Appointments and Scheme Cancellation. The court examined legality of High Power Committee order setting aside Slum Rehabilitation Authority appointment and SRA letter cancelling scheme, involving multiple slum dweller societies and developers.

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

The judgment under consideration is a consolidated order of the Bombay High Court dealing with a group of writ petitions and contempt petitions arising from a slum rehabilitation scheme at Worli, Mumbai. The main writ petition is Writ Petition No.2421 of 2016 filed by Prem Siddha Co-operative Housing Society, but it is heard along with several connected matters involving multiple slum dweller societies and developers. The core dispute centers on the appointment of a developer for the slum rehabilitation scheme and the subsequent cancellation of the scheme by the Slum Rehabilitation Authority (SRA). The background involves a censused slum admeasuring about 42,995.22 sq.mtrs. with numerous slum dwellers. The SRA had issued a notice dated 05.03.1999 to Shiv Kripa Builders and Developers regarding compliance, and had issued letters dated 01.04.1999 and 09.04.1999 concerning the scheme of Indira SRA Co-operative Housing Society. On 14.10.2009, the SRA appointed M/s. Om Omega Investment and Properties as the developer for the scheme. However, the High Power Committee (HPC) by order dated 06.03.2014 set aside that appointment, holding that there cannot be a change of developer without lawful compliance with the Maharashtra Slum Areas (Improvement, Clearance and Rehabilitation) Act, 1971 and that the notice under Section 13(2) dated 14.10.2009 was not legal. Various parties challenged this HPC order. During the pendency of the writ petitions, the High Court passed a status quo order on 09.03.2015. Despite this, the SRA issued a letter dated 26.03.2015 cancelling the slum rehabilitation scheme. The High Court then directed on 07.04.2015 that no further steps be taken on the basis of that letter. In a hearing on 12.10.2015, SRA's counsel submitted that the cancellation letter would be withdrawn, and the contempt petition arising from the violation of status quo was disposed of. The legal issues before the court included the validity of the HPC order dated 06.03.2014, the validity of the SRA letter dated 26.03.2015 in light of the status quo order, whether there can be a change of developer without compliance with the Slum Act, whether the Section 13(2) notice was legal, and whether the scheme submitted by Indira survives or stands cancelled based on the SRA letters. Prem Siddha argued that the letters of April 1999, when read together, showed that Indira's scheme did not survive and only Prem Siddha's revised scheme remained; the revocation of the letter dated 01.04.1999 was linked to the pendency of Suit No.1860 of 1999 and revived after that suit was dismissed for want of jurisdiction. The provided extract includes the arguments of Mr. Nankani on behalf of Prem Siddha, detailing the property details and the interpretation of the letters. It also records the earlier procedural orders. However, the final reasoning and operative portion of the judgment are not included in the available text; the court had reserved judgment on September 08, 2021 and pronounced it on October 20, 2021, but the extract ends mid-argument. Therefore, the final decision and ratio decidendi cannot be determined from the provided material.

Headnote

A) Slum Rehabilitation - Developer Appointment - Validity of HPC Order - Maharashtra Slum Areas (Improvement, Clearance and Rehabilitation) Act, 1971, Section 13(2) - HPC order dated 06.03.2014 set aside SRA appointment of Om Omega as developer on grounds that change of developer requires lawful compliance and notice under Section 13(2) dated 14.10.2009 was invalid. Writ Petitions No.505 of 2015, 1205 of 2015, and 2421 of 2016 challenge this order; the court was to examine legality of the HPC's findings. (Paras 3, 8.1, 13)

B) Slum Rehabilitation - Cancellation of Scheme - Validity of SRA Letter Dated 26.03.2015 - Maharashtra Slum Areas (Improvement, Clearance and Rehabilitation) Act, 1971 - Despite status quo order dated 09.03.2015, SRA issued letter dated 26.03.2015 cancelling the scheme; High Court on 07.04.2015 directed no further steps, and SRA counsel later stated letter would be withdrawn. Petitioners in WP Nos.2424 of 2015 and 2595 of 2015 sought quashing of this letter. (Paras 4, 6, 9, 10, 12)

C) Slum Rehabilitation - Competing Schemes - Survival of Indira Scheme - Maharashtra Slum Areas (Improvement, Clearance and Rehabilitation) Act, 1971 - Prem Siddha argued that SRA letters dated 01.04.1999 and 09.04.1999, when read together, show Indira's scheme was revoked until further orders and only Prem Siddha's scheme survives; revocation was linked to pendency of Suit No.1860 of 1999 and revived after dismissal of suit. The court was to interpret these letters to determine scheme status. (Paras 15.1, 15.3)

D) Writ Jurisdiction - Status Quo and Contempt - Contempt Proceedings - Contempt of Courts Act, 1971 - Contempt petitions were filed alleging violation of status quo order by SRA's cancellation letter; SRA counsel submitted letter would be withdrawn, leading to disposal of Contempt Petition (L) No.32 of 2015. The court noted interim protection and directions. (Paras 11, 12)

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Issue of Consideration

Whether the High Power Committee order dated 06.03.2014 setting aside the SRA appointment of developer is legal; whether the SRA letter dated 26.03.2015 cancelling the scheme is valid; whether there can be change of developer without compliance with the Slum Act; whether the notice under Section 13(2) is legal; whether Indira's scheme survives or stands cancelled.

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Final Decision

Not mentioned - final decision not included in provided text; the court heard arguments and reserved judgment on September 08, 2021, but the final operative order is not included.

Law Points

  • Validity of High Power Committee order setting aside Slum Rehabilitation Authority appointment
  • Compliance with Section 13(2) of Maharashtra Slum Areas Act
  • 1971 for change of developer
  • Validity of cancellation letter issued despite status quo order
  • Survival of slum rehabilitation scheme based on interpretation of SRA letters
  • Contempt of court for violation of status quo
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Case Details

2021 LawText (BOM) (10) 79

Writ Petition No.2421 of 2016 along with Writ Petition Nos.505 of 2015, (L) 672 of 2015, 1205 of 2015, 2424 of 2015, 2595 of 2015, 396 of 2020 and Contempt Petitions

2021-10-20

Ujjal Bhuyan, Madhav J. Jamdar

2021:BHC-OS:4421-DB

Vikram Nankani, S. U. Kamdar, Naira Jeejeebhoy, Dinesh Dubey, Firdaus Moosa, Vijay Patil, Milind More, Aparna Vhatkar, Rupali Adhate, Samir A. Vaidya, Hrushi Narvekar, Vivek Vashi, Alya Khan, Shikha Dharia, Arun Panickar, Mangesh Sawant, Rohit Pandey, Prakash Mahadik, S. B. Gore, Amit Shastri

Prem Siddha Co-op. Housing Society and another (in WP No.2421 of 2016); M/s. Om Omega Investment & Properties (in WP Nos.505 of 2015 and 2424 of 2015); Indira SRA Co-operative Housing Society (in WP Nos.1205 of 2015 and 2595 of 2015); Shivkripa Builders & Developers (in WPL No.672 of 2015)

High Power Committee and others; Slum Rehabilitation Authority and others; Chief Executive Officer and others

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Nature of Litigation

Group of writ petitions and contempt petitions challenging orders of High Power Committee and Slum Rehabilitation Authority concerning slum rehabilitation scheme, developer appointments, and cancellation of scheme.

Remedy Sought

Petitioners sought quashing of HPC order dated 06.03.2014, quashing of SRA letter/notice dated 26.03.2015, directions to SRA to approve revised schemes or act upon earlier letters, and enforcement of status quo orders.

Filing Reason

Dispute arose among multiple slum rehabilitation societies and developers over a slum rehabilitation scheme on about 42,995.22 sq.mtrs. at Worli, Mumbai, with competing claims to developer appointment and survival of scheme.

Previous Decisions

SRA order dated 14.10.2009 appointed Om Omega as developer; HPC order dated 06.03.2014 set aside that order; SRA letter dated 26.03.2015 cancelled scheme; High Court passed status quo order on 09.03.2015 and directed no further steps on 07.04.2015; SRA counsel on 12.10.2015 submitted that cancellation letter would be withdrawn; Writ Petition No.1762 of 2006 set aside Slum Tribunal orders as without jurisdiction.

Issues

Whether the High Power Committee order dated 06.03.2014 setting aside the SRA order dated 14.10.2009 appointing Om Omega as developer is legal and valid. Whether the SRA letter/notice dated 26.03.2015 cancelling the slum rehabilitation scheme is legal, particularly in light of the status quo order passed by the High Court. Whether there can be a change of developer without lawful compliance with the provisions of the Maharashtra Slum Areas (Improvement, Clearance and Rehabilitation) Act, 1971. Whether the notice issued under Section 13(2) of the Slum Act dated 14.10.2009 is legal and valid. Whether the slum rehabilitation scheme submitted by Indira survives or stands cancelled based on letters dated 01.04.1999 and 09.04.1999, and whether Prem Siddha's revised scheme should be considered.

Submissions/Arguments

Mr. Nankani argued that the entire slum property admeasures about 42,500 sq.mtrs., with specific reservations for BEST bus depot, Bombay Hospital, BMC water reservoir, garden, and access road, and that Prem Siddha submitted a revised scheme on 10.09.2007. Mr. Nankani contended that letters dated 01.04.1999 and 09.04.1999 issued by SRA to Indira's architect, when read together, show that Indira's scheme does not survive and only Prem Siddha's scheme survives; the revocation in letter dated 09.04.1999 was till pendency of Suit No.1860 of 1999 and revived after the suit was dismissed on withdrawal for want of jurisdiction. Petitioners in Writ Petition Nos.505 of 2015 and 1205 of 2015 challenged the HPC order dated 06.03.2014 which set aside SRA appointment of Om Omega as developer. Petitioners in Writ Petition Nos.2424 of 2015 and 2595 of 2015 challenged the SRA letter dated 26.03.2015 cancelling the scheme, contending it was issued hurriedly despite status quo order. Shiv Kripa challenged the SRA notice dated 05.03.1999 and the letter dated 26.03.2015 recording cancellation of the notified slum rehabilitation scheme.

Ratio Decidendi

Not mentioned - the provided extract does not include the court's final reasoning or ratio decidendi; only preliminary facts and submissions are available.

Judgment Excerpts

This judgment and order will dispose of Writ Petition Nos.505 of 2015, (L) 672 of 2015, 1205 of 2015, 2424 of 2015, 2595 of 2015, 2421 of 2016 and 396 of 2020. By the impugned order dated 06.03.2014, HPC has set aside the order dated 14.10.2009 passed by the Slum Rehabilitation Authority (SRA) i.e., respondent No.3. This Court by order dated 09.03.2015 directed maintenance of status-quo by all the parties. The only rational and reasonable way of construing the letter dated 09.04.1999 would be to take the view that revocation of the letter dated 01.04.1999 was till pendency of Suit No.1860 of 1999.

Procedural History

Slum rehabilitation scheme for censused slum at Worli was proposed; SRA notice dated 05.03.1999 issued to Shiv Kripa; SRA letters dated 01.04.1999 and 09.04.1999 issued regarding Indira's scheme; SRA order dated 14.10.2009 appointed Om Omega as developer; HPC by order dated 06.03.2014 set aside that appointment; High Court passed status quo order on 09.03.2015; SRA issued letter dated 26.03.2015 cancelling scheme; High Court on 07.04.2015 directed respondents not to take further steps; SRA counsel on 12.10.2015 submitted letter would be withdrawn; contempt petition disposed; various writ petitions filed challenging these orders.

Acts & Sections

  • Maharashtra Slum Areas (Improvement, Clearance and Rehabilitation) Act, 1971: Section 13(2)
  • Maharashtra Co-operative Societies Act, 1960:
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