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2025 Supreme(Bom) 587

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
A. S. Gadkari, Kamal Khata, JJ. 
Vimalnath Shelters Private Limited and ors. - Petitioners
Versus
The State of Maharashtra, through Ministry of Housing Mantralaya and ors. – Respondents
Writ Petition No.477 of 2025
Decided On : 03-04-2025

Advocates Appeared:
Mr. Chirag Modi a/w. Adv. Aditya Thakkar and Adv. Deepak Shukla i/by BNS Legal for the Petitioners.
Mr. Himanshu Takke, AGP for Respondent Nos.1 & 2-State.
Mr. Sandesh D. Patil a/w. Adv. Krishnakant Deshmukh, Adv. Prithviraj Gole,
Adv. Divya Pawar and Adv. Chintan Shah i/by Adv. Anbusha Amin for
Respondent Nos.7, 8, 10 to 15, 17 to 22, 25, 27 to 31, 33 and 35 to 29.
Mr. Yashodeep P. Deshmukh a/w. Adv. Vaidehi Pradeep i/by Adv.
Bhagyashree D. Kirwe for Respondent Nos.40, 42, 43.
Mr. Shaurasingh Chowhan a/w. Adv. Shalaka Shinde i/by Adv. Aditya Patil
for Respondent No.41.
Mr. P.G. Lad a/w. Adv. Sayli Apte and Adv. Shreya Shah for the RespondentMHADA.
Mr. Sudhir Yewale, Ex. Engineer, present.
Mr. Bhavesh Vira, Respondent No.27 and Mr. Anil Potdar, Respondent No.22, present-in-person.

The court ruled that notices issued under Section 79-A of the MHADA Act are invalid if the building is not officially declared dangerous, violating due process and natural justice.

Headnote:

(A) Maharashtra Housing and Area Development Act, 1976 - Section 79-A - Constitutional validity challenged - Notice issued under Section 79-A deemed invalid as it lacked necessary findings regarding the building's condition and failed to follow due process - The authority did not declare the building as dangerous as required by law. (Paras 22, 23)

(B) Natural Justice - The principles of natural justice were violated as the owners were not informed or present during the structural audit. (Paras 5.2, 11)

Facts of the case:
The Petitioners, owners of a cessed building, challenged notices and an order issued by MHADA regarding redevelopment, claiming the notices were arbitrary and violated their rights. They argued that the building was not dangerous and that the redevelopment process was obstructed by tenants. (Paras 2, 4, 5)

Findings of Court:
The court found that the notices issued under Section 79-A were invalid as they did not comply with the legal requirements, particularly the need for a declaration of the building's dangerous condition by the competent authority. (Paras 22, 23)

Issues: The main issues included whether the notices were valid given the lack of a declaration of danger and whether the principles of natural justice were upheld. (Paras 5, 22)

Ratio Decidendi: The court held that the authority must follow the statutory requirements for declaring a building dangerous, and failure to do so invalidates the notice. The court emphasized that tenants cannot frustrate the owners' rights by withholding consent for redevelopment. (Paras 9, 22)

Result: The Petition is allowed, and the impugned notices and order are set aside.

JUDGMENT :

Kamal Khata, J.

1) Rule. Rule made returnable forthwith and by consent of parties heard finally at the admission stage.

2) By this Petition under Article 226 of the Constitution of India, the Petitioners are challenging Notice dated 19th May, 2023 issued by Respondent No. 3-MBR&RB and the Order dated 24th July, 2024 passed by Respondent No. 5-MHADA that was followed by the Notice dated 30th July, 2024 issued by Respondent No.3. Additionally, the Petitioners also challenge the constitutional validity of Section 79-A of Maharashtra Housing Area Development Act, 1976 (MHADA), as arbitrary and violative of their fundamental and constitutional rights and consequently seek its striking off. Brief facts:

3) The Petitioner No. 1 is the owner of the property consisting of freehold land bearing Cadastral Survey No.1/291 and 2/291 (Lower Parel Division) admeasuring 2383 square yards and 135 square yards aggregating to 2518 square yards equivalent to 2105.35 square meters or thereabout situated at erstwhile Fergusson Road and now known as Ganpatrao Kadam Marg, Worli Naka, Mumbai and a chawl constructed thereon known as ‘Shoorji Vallabhdas Chawl’. It is a cessed building having 12 commercial tenements on the ground floor and 26 residential tenements on 2 upper floors.

4) The Petition states that the Petitioners have been attempting to redevelop a chawl since 1993 under the Development Control Regulation (DCR), initially securing permissions and agreements for alternate accommodations of 225 sq. ft. In 1996, they received approval from the Brihanmumbai Municipal Corporation (BMC) and a Commencement Certificate (CC) for rehabilitation construction, including a community hall and Jain temple. In 2008, after a policy change increased the Floor Space Index (FSI) to 2.5, allowing tenants 300 sq. ft., the Petitioners sought redevelopment approval under Regulation 33(7) of DCR 1991. However, tenants obstructed inspections and later revoked their consents. Disputes continued, with a FIR lodged in 2011 due to conflicts over temple construction. Permissions were revalidated multiple times until 2017 and by 2018, the Development Control Promotion Regulation (DCPR) 2034 came into effect. That on account of tenants’ obstruction and unreasonable demands they could not redevelop. In the meanwhile, the MBR&R Board has undertaken periodic repairs, including in 2011, 2017-18, and 2022-23.

4.1) Around November – December 2022, the tenants carried their grievances to the local MLA, Advocate Shri Aashish Shelar, who in turn placed the grievances of the tenants before the Respondent No.4 to 6- MHADA. This action resulted in Respondent No. 3-MBR&RB addressing letter dated 3rd January 2023 to the Petitioner. This letter referred to another letter dated 16th December 2022 allegedly sent to Petitioner No.1 at some other address because of which the meeting called for by the authority could not be attended by them. Later, on 24th February 2023, Respondent No-3 MBR&RB called upon Petitioner to submit proposal for redevelopment. The Petitioner responded to this by his letter dated 2nd May 2023 clarifying the efforts made in the past by the Petitioner that was thwarted by the tenants.

4.2) Suddenly, on 19th May 2023 Respondent No.3-MBR&RB, issued Notice under Section 79-A. The Petitioners’ contend that, a closer look at the notice reveals that it is based only on a visible inspection and without any supporting material. Despite that, the Petitioners reached out to the tenants by their letter dated 23rd June 2023 calling for meetings to show their readiness and willingness to redevelop the property and sought their co-operation and consent for the same. Surprisingly, the response was received from one Surji Vallabhdas Building Rahivashi Mandal, purportedly formed by the tenants, informing Petitioner about withdrawal of their past consents. There were inter-se correspondence between the Petitioners and the tenants particularly his letters dated 18th April 2024 and 10t

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