Bombay HC Orders Recovery Of Transit Rent For Tenants From Developer Through Sale Of His Properties [Read Order]

The Bombay High Court has ordered attachment of properties of a developer who failed to pay transit rent to almost 100 tenants while the building concerned was being redeveloped.

A bench of Justice SS Kemkar and Justice Anuja Prabhudessai directed Maharashtra government to take necessary steps to recover the outstanding transit rent from the landlord and developer Vilas Gaonkar, who sought further time to come up with a proposal for depositing the outstanding amount.

The plea was rejected by the high court on the ground that such statements had been made on the developer’s behalf earlier as well yet no proposal had been submitted.

Appearing for the Maharashtra Housing and Area Development Authority (MHADA), Girish Utangale submitted a letter written to the Collector of Mumbai detailing movable and immovable properties of the developer.

The court said the letter written by the MHADA to the Collector will be treated as a certificate of arrears of land revenue for the purpose of effecting recovery.

The Collector of Mumbai has been given eight weeks from the date of the order, i.e., September 13.

Collectors in other parts of Mumbai and elsewhere, wherever the developer has properties, have to be informed about the direction of attachment of properties for recovery as per the directions of the court.

The matter will now be listed for hearing on November 17.