Outrage in Santacruz’s Khotwadi: Builder denying transit rent for 6 years, erected 50 illegal flats

Despite promises of redevelopment, the residents of Santacruz's Khotwadi are stuck in dire circumstances. The builder Transcon Iconic Pvt. Ltd. (previously known as Sanjay Construction and Finance Pvt. Ltd.) has failed to provide rent for homes and commercial spaces for the last six years, informs a Khotwadi resident Kunal Gupta (35). He is currently residing in Virar while he awaits the allotment of his house in the redeveloped society.

The project, spearheaded by Aditya Kedia and Kirti Kedia of Transcon Developers, aimed to uplift the living standards of residents through modernisation and revitalisation efforts, Gupta tells Midday.

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However, the prolonged delay in providing compensation has left many families in financial straits, with no respite in sight.

Like Gupta, several residents have been residing in different parts of the city as they are yet to be allotted housing in Sai Durga Cooperative Housing Society. Not only this, they have not received the due rent for their homes and commercial spaces for the past six years.

How the community crisis unfolded

2005: Developer Transcon Iconic proposed a slum redevelopment program for Khotwadi situated near Milan International Hotel, Santacruz West.

2011: The slum was registered under Sai Durga SRA CHS Ltd. and the developers received an allowance to redevelop it. The directors of the company include Aditya Kedia, Kiriti Kedia, Rishi Todi and Irfan Sheikh.
When this newspaper reached out to developer Aditya Kedia, he disassociated himself from the builder company by quoting "I am no longer a part of this project since 2023."

2016: Resident Shrikant Morye (36) tells Midday, "In 2016, Kedia asked us to vacate the plot by promising that he would start the redevelopment and pay us rent." Following this 250 slum dwellers agreed to the development of a 300 sq. ft room in a span of 2 years.

2018: The entire plot was vacated by the members of the society in 2018. However, promises made by the developers remain unfulfilled.

2024: For the past six years leading up to 2024, the slum members have been deprived of their transit rent which now amounts to Rs 16 crore. In response, Satish Lokhande, the CEO of the SRA Authority has blacklisted 150 SRA developers in Mumbai, including Transcon Iconica, which was added to the list in 2022.

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Bureaucracy hand in glove with developers?

Resident Sachin Naik (39) who currently resides in Vile Parle tells Midday, "Though the slum redevelopment of the Khotwadi is near completion - the construction of the rear building remains incomplete. Not only this, the developer has constructed smaller (269 sq. ft) rooms in Wings "A to F" as opposed to the promised figure of 300 sq. ft."

Additionally, the developers have also illegally constructed 50 more houses on the land without obtaining the consent of the residents, adds Naik.

Disappointed with false claims, several complaints regarding various irregularities like inordinate delay in the construction of rehab buildings, non-payment of rent and unauthorised construction work beyond approval in the building were lodged by complainants Sheri Pradeep Tiwari, Shri Pradeep Laxman Singh Thakur and advocate Himanshu Satija. They have been constantly pursuing SRA and various offices at the government level to take action against the developers.

Several tenants reached out to Lokhande for illegal construction. In response, the SRA office had called for an explanation from the developers from time to time. Additionally, a ‘Stop Work Notice' was issued to the developers by the Slum Rehabilitation Authority.

The developers had been informed about the illegal construction for the 2nd and 3rd floor of the sale wing and were directed to pull back the unauthorised work. Despite the notice, the developer failed to restore the property, informs Gupta. Residents are of the opinion that bureaucracy has been siding with the developers.

"Despite multiple complaints, nothing changed. CEO Lokhande is working in the developer's favour," said Morye in a telephonic conversation. The residents have approached 50-60 officials at SRA but have received no redressal for their issues. At the time of publishing this story, this newspaper reached out to the CEO of SRA via telephone and email but received no response.

However, SRA has granted permission to prosecute the developer under the Monopolistic and Restrictive Trade Practices Legislation (MRTP) Act, 1966 by lodging an FIR against them for non-compliance with instructions given in the notice, as per Pratap Mirchandani (SRA).

Additionally, SRA has approved informing Designated Officer and Executive Engineer, BMC to initiate demolition of the illegal construction, according to the MRTP letter to Designation Officer HW Ward.

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No respite in sight

The hearing on the case has been going on for the last eight months. Non-payment of transit rent to slum members continues. Additionally, several corruption complaints remain pending, with no final orders issued yet, informs Gupta.

Amidst the ongoing hearing and issuance of stop-work notices, the SRA Authority has granted permission for the conversion of a 36-flat wing in the rehab building into a sales shop. Over the past month, members have vehemently opposed this illegal action by the developer.

However, the developer has resorted to seeking assistance from Santacruz police to suppress the voices of the impoverished slum dwellers, informs Morye. False complaints have been filed against members who are opposing the illegal acts of the developer and the SRA Authority, prompting swift action by the police.

Residents express deep concern over the lack of response from Transcon Developers regarding their outstanding rent payments. Despite numerous attempts to communicate with the developers, their pleas have fallen on deaf ears. Moreover, there have been reports of intimidation tactics employed by the builders' representatives, adding to the residents' distress.

"People are really in pain as the builder has not given them rent for their homes and commercial spaces for the past six years. This situation has put our lives at stake. We trusted the promises made by Transcon Developers, but now we are left struggling to make ends meet," shares a resident who wished to remain anonymous.

The plight of Khotwadi residents highlights the urgent need for accountability and transparency in redevelopment projects. The community urges Transcon Developers to fulfil their obligations promptly and provide the necessary support to ensure a smooth transition for all residents. Residents are also appealing to the government for immediate action and assistance in resolving this matter and safeguarding their rights.

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