In a major blow to the Rs10,000 crore Chira Bazaar cluster development project, the state government has sent back the proposal to the civic body on “flimsy grounds”.

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The government action seems suspicious as the cluster development proposal was submitted by the Remaking of Mumbai Federation (Lok Group), of which Mayank Gandhi is the secretary.

A staunch Anna Hazare supporter, Gandhi is the president of India against Corruption (Mumbai).

“After the state-appointed high-powered committee cleared the proposal in July, it is only a formality for the urban development department to give its nod,” said a senior civic official on condition of anonymity.

But, a senior state official said the developer and people should not read too much between the lines.

“There were serious lacunae in the Chira Bazaar redevelopment proposal, so, it was sent back to the civic body for compilation of various no-objection certificates (NOCs) and remarks,” said the senior state official. “We are not here to block any developer’s proposal because he belongs to the anti-graft movement led by Hazare, who is spearheading an agitation against the Congress. It is purely an administrative decision.”

When DNA called Gandhi, he said he was busy and could not comment on the issue.

The state has raised several questions about the project. In its letter to the BMC, the government said the developer has neither submitted an original tenants and owners’ consent letter with the main blueprint of the project nor NOCs from the high-rise committee and estate department.

Even the high-powered committee has not clearly specified the exact size of the plot under the cluster development and its border. The state pointed out that it is not clear if the project had been submitted under the DC Rule 33 (9), under which cluster development falls, or any other scheme and the developer did not submit any report of the impact of the redevelopment on the existing infrastructure.

The government claimed that the developer has taken several concessions, but the high-powered committee has not remarked on these.

“The proposal has not even taken approval from the Mumbai Heritage and Conservation Committee. The property card and details of the government’s land record and survey official have not also mentioned. There is no clarity on the various reservations,” said the letter.

DNA has a copy of the letter.  But, these issues are not pertinent, said a senior civic official. 

“The points raised are unconvincing and which can be completed once the BMC issues its letter of intent to the developer,” he added.

TC Benjamin, principal secretary of the urban development department, was unavailable for comment.

In September, Congress MLA Amin Patel from Mumbadevi constituency had raised objection over the credibility of the Lok Housing and Construction Group, which is part of Remaking Mumbai Group.

Patel wrote to party president Sonia Gandhi claiming people have doubts about this developer group and if the state gave them the project, many will be rendered homeless.