Eating is an agricultural act - Wendell Berry

Wednesday, September 03, 2008

hiranandani gardens scam

'builder' is a ubiquitous mumbai terminology.
it is uttered with a lot of contempt and fear.
these guys rule the city's roost.
they mow down opposition without any qualms.
'redevelopment' is the buzz word.

one of the 'respected' and 'polished' builders is hiranandani developers ltd.
their flagship township - hiranandani gardens is in powai, mumbai. some of my best friends live there.
and i have seen it at extreme close up for over 8 years now.

mumbai mirror has run a low/medium quality investigation on the major scam that is hiranandani gardens.
In 1986 the government and MMRDA signed an agreement with the original 19 land holders of these 230 acres saying that the land would be handed over to them to develop it on the condition that 50 per cent of the residential units built would admeasure 40 sq mts (approximately 430 sq ft) while the remaining 50 per cent of the residential units will extend to 80 sq mtrs, roughly 860 sq ft (see inside for more details). Out of the 230 acres thus available for development Niranjan Hiranandani, who was given the power of attorney by the original land owners, undertook to develop more than ninety per cent of the land.
the amount of construction i have seen over the 8 years has been stunning, including the demolition of a hill to build a park!
the flat owners and the resident societies are in arms against this constant state of construction in the area. their complaints has led to a 'environmental pollution report' by the government.

but the extensive report has led to what is at best a minor 'feathery rap on the knuckles'. a Rs 3 crore fine, which has been paid up.
the remaining 'punitive actions' will lie ensconced in judicial gordian knots.


Preeti Aghalayam aka kbpm said...

yeah 3 crores what is that all about?

csm said...

as per back of the envelope calculations.
assume the average "excess" built up area per flat = 300 sq ft
total flats = 3000
Total excess built up area = 9 lac sq ft
Going market rate = Rs 10K per sq ft
Total fine amount = Rs 900 crore
fine charged as 'down payment' = Rs 3 crore ~ 0.33%...

what are the chances of that getting to even 10%?