Sunday, February 3, 2013

SRA SCAMS: SRA takes stock of slum rehab projects

With poor track record of the projects, of which only 1/4th have been completed, the authority wants to expedite work

MUMBAI: The poor track record of the various slum rehabilitation projects in the city, only 24% of which have been completed, has jolted the Slum Rehabilitation Authority into action. The authority has now started taking stock of the pending projects to expedite them.

Of the total 2,395 projects approved since the body was set up, only 597 schemes have been executed so far, with 1.53 lakh slumdwellers rehabilitated. The SRA projects aim to give bigger, better homes to slumdwellers, free of cost, but the scheme has invited a lot of opposition, including allegations of being designed to favour builders, and several projects have been either derailed or stuck in litigation.

Chief executive officer of the SRA, Nirmalkumar Deshmukh, said the stock-taking exercise could accelerate the scheme. “It will help us understand why the schemes have not been executed and what difficulties are being faced in implementation of the projects,” he said. If builders who are assigned the project are found to be disinterested, notices will be issued to them and their permissions will be cancelled.

Officials said many errant builders, despite getting the mandatory 70% consent from slumdwellers and the SRA, have not begun work on the project for decades. Many of these are small-time builders or brokers, who sell the project to bigger builders. Moreover, infighting among slumdwellers about the project delays execution. The consent clause, in particular, has always been at the centre of controversy, as slumdwellers allege that their signatures are fudged by builders.

Builders too have welcomed the SRA move. “Such steps will force builders to start work and also help increase the housing stock,” said Sunil Mantri, Chairman, Real Estate Committee (Indian Merchants Chambers) and Managing Director, Sunil Mantri Realty Ltd.

GOOD INTENTION, BUT MARRED BY CONTROVERSY
According to the National Slum Dwellers Federation (NSDF) there are 3,200 slums pockets in the city, housing more than 60% of the city’s population. In contrast, these slums occupy merely 8-12% of the total 437.71 km of city limits. The slum rehabilitation scheme began in 1996, but has been able to rehabilitate just 1.53 lakh slum dwellers so far. Under the scheme, builders have to secure consent of minimum 70% slumdwellers for rehabilitation. The builder has to offer free houses to them. As compensation, the builder will be allowed to build additional houses for sale.

The scheme, however, has been marred by controversies ever since it came into place. Many argue that the scheme is exploited by builders for their vested interests and allegations have been made that builders fudge figures to boost profits. The Tinaikar committee had slammed the SRA scheme as one tailored to benefit of the builders but the state has ignored the recommendations.

PROBLEMS WITH THE SLUM REHABILITATION SCHEMES
1 Majority of those undertaking the projects are smalltime builders or brokers who, after receiving consent from tenants, hand over the project to a bigger builder.

2 Since the scheme mandates 70% consent, there has been infighting among slumdwellers, who allegedly form groups to support their favoured builders. Competition among the builders, who offer additional benefits to slumdwellers to bag the project, has also derailed many schemes.

3 There have been allegations that builders fudge signatures to reach the 70% mark.

4 A petition filed in the Bombay high court challenges the constitutional validity of a section of the Act which empowers the state to acquire land for SRA projects

State says SRA projects aim to give slumdwellers life of dignity
MUMBAI: Defending the controversial slum rehabilitation scheme, the state government on Wednesday informed the Bombay high court that the scheme was enacted to enable slumdwellers to live in good homes with dignity.

The state said that it was not possible to give notices and hear grievances of every affected person, and some compromise to natural justice may have to be made to implement the scheme.

The statements were made during the final stages of hearing in a case which could have far-reaching implications on ongoing and future Slum Rehabilitation Authority (SRA) projects in the state. The petition, filed by Bandra resident Sara D’mello, challenges the constitutional validity of section 14 of the Maharashtra Slum Areas (Improvement, Clearance and Redevelopment) Act, pertaining to the power of the state to acquire land for these projects.

The petitioner also challenged a show cause notice issued by the additional collector in 1998 and a notification by the government in 2003 to acquire her prime property measuring 1,575 sq m in Bandra for an SRA project. Following her 2003 petition, the court had granted a stay on the acquisition.

The state, through assistant government pleader GW Mattos, contended that the land acquisitions under SRA are valid for providing permanent alternative accommodation to slumdwellers, who live in squalor and unsanitary conditions.“The purpose of acquisition for a public purpose satisfies the constitutional mandate for acquisition of the land under the constitution of India,” stated an affidavit filed by Sanjay Ingle, under secretary to the housing department.

D’mello contended that before any acquisition notice is issued, the state hears objections to the project, but there is no proper procedure for acquiring the land or compensating the expropriated owner.

The petitioner told the division bench of chief justice Mohit Shah and justice Anoop Mohta that the collector passes the land to slum rehabilitation authorities, who in turn transfer it to builders for a hefty sum, while the owner is given a paltry amount. Under the Act, such acquisition is valid only if the expropriated owner is paid an amount which is not illusory, petition states.

The state stood by its argument that sufficient hearing is given and the owner is compensated as per procedure laid down by the Act. The HC however observed the benefit goes to the builder. The hearing will continue on Thursday.
Courtesy:
31 Jan 2013
Hindustan Times (Mumbai)
Naresh Kamath naresh.kamath@hindustantimes.com
&
Mohan K Korappath mohan.korappath@hindustantimes.com

http://paper.hindustantimes.com/epaper/viewer.aspx

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