Housing scam in Powai uses CM’s name

Mumbai: The state has ordered an inquiry into a bogus scheme orchestrated by unknown developers for affordable housing in Powai, inviting applications from the public for flats allocated at cheaper rates using the name of the chief minister.

The applications had been distributed to people who gathered at Mantralaya on Tuesday to submit them. The forms were reportedly addressed to CM Prithviraj Chavan requesting him to allocate the flat in the said scheme at an affordable rate of Rs 54,000 for a 400 sq ft flat. The state issued a statement making it clear that the applications are bogus.

“A bogus application has been prepared addressed to the CM in the name of Powai Area Development Scheme for affordable housing. There is no such government scheme. The police have been asked to make an inquiry,” the statement said.
Courtesy:
Chittaranjan Tembhekar
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Stay on investigation in Powai land scam lifted

Investigation in the Rs 45,000-crore Powai land scam will resume as the Bombay High Court today lifted its stay on the probe.

Bombay High Court today lifted the stay on investigation against Indian Merchants Chamber President and builder Niranjan Hiranandani and Indian Administrative services (IAS) officer Thomas Benjamin in the Rs 45,000-crore Powai land scam case.

 Earlier this year, an FIR was registered by the Maharashtra State Anti-Corruption Bureau against Hiranandani and Benjamin for alleged irregularities in a housing project worth nearly Rs 45,000 crore.

 It is alleged that Hiranandani was supposed to construct tenements for weaker sections of society on a government land under the Powai Housing Development Scheme at Powai in the suburbs, but he cheated the state by constructing spacious flats and selling them off at a premium to the affluents.

 Now that the stay has been lifted, it is likely that further investigation may open up a can of worms and several ministers, politicians and IAS officers who helped Hiranandani in perpetrating this allegedly massive fraud may get apprehended.

Courtecy:
A correspondent, September 27, 2012, Mumbaihttp://www.mid-day.com/news/2012/sep/270912-Stay-on-investigation-in-Powai-land-scam-lifted.htm

Rs. 30,000 Crore Scam by Builder Hiranandani in Powai

HC lifts stay on ACB probe into Hiranandani project

Allowing the probe against Additional Chief Secretary, Health T C Benjamin and developer Niranjan Hiranandani to proceed, Bombay High Court on Tuesday vacated an interim stay granted on an order directing the Anti-Corruption Bureau (ACB) to investigate allegations against the two in an alleged real estate scam.

Benjamin, former principal secretary in the Urban Development Department (UDD), is accused of not taking action against Hiranandani who allegedly built luxury flats in Powai in breach of a tripartite agreement between the builder, the state government and MMRDA.

A special court had ordered an investigation against Benjamin following a complaint by activist Santosh Daundkar who alleged that Benjamin had recommended that Hiranandani should be directed to pay a fine of only Rs 3 crore.

However, sources familiar with the case said that the UDD had earlier fixed the penalty on Hiranandani at Rs 89 crore. Subsequently, an arbitrator was appointed who reduced the penalty to Rs 3 crore. The state government has contested the reduced award of penalty on Hiranandani in the high court.

Reacting to the court’s decision, Benjamin said: “The state government is going to file an affidavit justifying its decision to impose the fine of Rs 89 crore on Hiranandani. The decision taken by me was in all transparency.”

In his appeal, Benjamin stated that there were no allegations of financial misappropriation against him. The court has adjourned the case for further hearing till October 5.

The Anti-Corruption Bureau (ACB) registered an FIR against Benjamin and Hiranandani on July 5. On July 10, the bureaucrat moved the high court, which stayed the order of the special court and restrained the ACB from carrying out further investigation into Daundkar’s private complaint.

On Tuesday, Benjamin’s petition seeking the quashing of the private complaint was heard by a bench of Justices A S Oka and Sadhana Jadhav. His lawyer Satish Borulkar urged the court to extend the stay granted on the subordinate court’s order.

The judges, however, observed, “By granting ad interim relief, the writ court cannot interfere with the process of investigation. Hence, we decline to continue the ad interim relief granted earlier.”

Daundkar’s complaint, filed through lawyer Y P Singh, stated that in 1977, the state had announced the Powai Housing Development Scheme for economically weaker sections (EWS) that was to be implemented over 140 hectares in the villages of Powai, Kopri and Tirandaz. In 1986, the state signed an agreement with Hiranandani, and handed over 230 acres.

“However, the developer had flouted the tripartite agreement with the state and MMRDA which allowed him to develop 230 acres in Powai and construct affordable houses and hand over part to the state,” Daundkar alleged.

Daundkar pointed out that an ACB inquiry in 2009 revealed that only 76,120 sq m of the 5.74 lakh sq m of the built-up area sanctioned by the government was used by Hiranandani for low-cost housing, while the rest was converted into luxury apartments of 2,000 to 5,000 sq ft.

COURTESY:
Express news service : Fri Sep 28 2012, 01:09 hrs
http://www.indianexpress.com/news/hc-lifts-stay-on-acb-probe-into-hiranandani-project/1008978/0