State to fine bldrs 31cr for duping Mhada

Mumbai: The going is set to get tough for 33 builders who have not yet surrendered surplus built-up area worth over Rs 200 crore to Maharashtra Housing and Area Development Authority (Mhada). The state housing department has proposed to slap fines collectively worth Rs 31.47 crore on thesebuilders. 

    The fines will be over and abovethelandthatthebuilders have to surrender to Mhada, a senior officialsaid. 
    The 33 builders owe Mhada 1.22 lakh sq ft of land, which is roughly equivalent to 407 small-sized(300sq ft)flats. 
    Under the development control regulations, builders redeveloping dilapidated cessed properties in the island city have to surrender a portion of the built-up space to Mhada. The builder receives a floor-space-index of 3 for such redevelopment. The available built-up spaceisfirstusedto rehabilitate tenants. The builder gets to retain proportionate area asincentivefor hissalecomponent. The surplus built-up area has to be divided in the ratio of 2:1 between Mhada and the builder. The 33 builders breached the rules and some even sold off Mhada's share of surplus area.In somecases,the surplus area has not been surrenderedfor over twodecades. 
    Mhada had planned to use thesurplusbuilt-up area for its various redevelopment and rehabilitation projects. 
    The redevelopment projects involving these lands are situatedin areaslikeMazgaon, Tardeo, Prabhadevi and Parsi Colony, among others, where real estate rates vary from Rs 1.5 lakh per sq m to Rs 2.5 lakh per sq m. 
    Last year, the economic offences wing registered cases against these builders on Mhada's complaint. The proposal hasbeen putup for approvalbefore minister of state(housing) Sachin Ahir,following whichit will be submitted to CM PrithvirajChavan. 
HOMING IN ON THE DEFAULTERS 
Land Ahoy Of the 1.22 lakh sq ft land due to Mhada from 33 projects, about 76,828 sq ft (10 projects) is in the Mazgaon-Byculla belt. Nineteen projects are in the Dadar-Mahim-Parel-Sewri belt. Mhada's share in these works out to 24,363 sq ft. The remaining four projects are in Tardeo and parts of south Mumbai, where Mhada's share is 21,131 sq ft 
Money Matters At current market rates, Mhada's share is valued at over 200 crore. About 407 small-sized flats can be built on the area 
Rise From The Ashes The file on fine proposal was charred in the Mantralaya fire. It was reconstructed and put up for approval 
Fine Move The housing department has used state norms on fines for overstay in government tenements to charge builders