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Is Mhada cheating cessed building owners?

The Maharashtra Housing and Area Development Authority (Mhada) is in charge of the repairs and construction of old cessed structures in the city.

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The Maharashtra Housing and Area Development Authority (Mhada) is in charge of the repairs and construction of old cessed structures in the city. The authority is also liable to pay the owners of the buildings their rightful share, if any, once the repairs are complete.

However, the reply to a Right to Information (RTI) application filed by activist Milind Mulay revealed that Mhada conveniently avoided informing the owners of the rule.
As per section 80 (2) of the Mhada Act, 1976, the housing body, post repairs of such cess buildings is supposed to send notices to the owner of the property informing them that the material, debris and things aforesaid after repairs are in possession of Mhada and that if the owners feel their monetary value is more than that of the repairs conducted, they can ask for the compensation by submitting their claim within 30 days. Mhada will then evaluate the claim and compensate the difference amount to them accordingly.

“According to the RTI, Mhada repaired around 179 structures from April 1, 2003, to March 31, 2008, in the F-north and G-north division (Elphinstone to Mahim). However, none of the owners were informed about their rights,” said Mulay.

“How can it be that so many senior officers in the board do not see this violation? They are ignoring an important rule that tries to compensate the owners of cessed buildings, who are  constantly in need of money  to repair the dilapidated structures.”

Mulay claimed that Mhada’s lack of initiative clearly indicated a racket of some kind. “Materials like Burma teakwood have a good market value. They are probably being sold off without the knowledge of the building owners.”

When contacted, Tanaji Satre, chief executive officer of repair and reconstruction board, Mhada, refused to comment on the issue saying that he would have to look into the matter.

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