Once touted by its developers as “Asia’s Widest Residential Complex”, the Palm Beach Residency, today, is Navi Mumbai’s most prominent land scam.
Once touted by its developers as “Asia’s Widest Residential Complex”, the Palm Beach Residency, today, is Navi Mumbai’s most prominent land scam. Anshika Misra and Nadia Menezes find out what the controversy is all about:
A deal is struck
Going by the City and Industrial Development Corporation’s (Cidco) former managing director V M Lal’s affidavit to the Bombay high court, no one was interested in investing in Navi Mumbai’s version of Marine Drive — the plush, eight-lane, Palm Beach Road through the 1990s-2000.
Cidco, therefore, strategised to sell the land to co-operative housing societies at lower-than-market rates. However, amalgamation of plots taken under various people’s names into one residential plot is not allowed by Cidco rules.
In February 2004, six co-opeartive housing societies, promoted by municipal market traders and made up of low-income mathadi workers, applied for plot number 24, measuring 37,000 sq-mtr, on the turning to Nerul node from Palm Beach Marg. Each filed identical applications that were signed by the then chief minister Sushilkumar Shinde and later approved by Lal.
In March 2004, the plot allotted at Rs 10,500 per sq mt — as against the then market rate of Rs 20,000 per sq-mt — saw Sea Queen, Sea View, Amey, Sagarika, Sea Link and Vinayak merge into Palm Beach Residency, as one by one the societies folded up giving development rights to Vijay Associates (Wadhwa) Developers. Cidco’s loss from the deal is pegged at Rs 35 crore.
The players
Shushilkumar Shinde: The former CM signed the six computer printed, identical undated applications from the bogus co-operative housing societies with a note, “Please put up”.
V M Lal: The former director too signed on the applications with a note, “Please process early.” Vijay Associates (Wadhwa) Developers: The Bandra-based developers, who financed the project, claim there was no fraudulency in the deal.
Current Status
A billboard promising remote-controlled ‘smart homes’, stands in front of five buildings, constructed up to the eighth floor, and three more that have reached first-floor level. While no construction work was on, trucks delivering goods and a couple of workers were seen putting up iron rods on Thursday morning.
Officialspeak
The High Court has asked the Cidco to take over the land, evaluate it and take action against officials involved Buddhabhushan Gaikwad, chief public relations officer of the Cidco, said, “We’ve asked for a certified copy of the judgement from the Bombay High Court. The moment we get it we will take whatever action is required.”
The NMMC has been asked to decide whether to regularise the already constructed portion or demolish the same Madhukar Kokate, NMMC Commissioner, said, “We’re awaiting a copy of the judgement. Since the NMMC is the planning authority in the region, the decision has been put in its hands, even though the property belongs to the Cidco.”
Navin Makhija, project in-charge, said, “We are challenging the HC order in the Supreme Court.”
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