The Comptroller and Auditor General (CAG) has highlighted several irregularities in the functioning of Mumbai’s Slum Rehabilitation Authority (SRA), stating that certain private developers received financial and development benefits beyond what was permitted under the applicable regulations. The audit report points to lapses in regulatory oversight, inconsistent implementation of planning norms and inadequate recovery of statutory dues, resulting in significant revenue implications for the government.
According to the CAG, the SRA granted developers additional benefits, including excess Transferable Development Rights (TDR), Floor Space Index (FSI) and free-sale built-up area beyond the limits prescribed under the Development Control Regulations (DCR). The report stated that these approvals were issued without sufficient justification or strict compliance with regulatory provisions.
One of the major observations relates to airport-linked slum rehabilitation projects, where developers were reportedly allowed additional free-sale entitlements and TDR beyond the permissible limits. The audit estimated that these excess benefits included around ₹187.17 crore through additional free-sale TDR, ₹48.66 crore through excess land TDR and nearly ₹100 crore through additional free-sale components. It also pointed to the short recovery of infrastructure charges and other statutory dues payable to the authority.
The CAG attributed these irregularities to inadequate scrutiny of project proposals, varying interpretations of development regulations and weak monitoring during project execution. It observed that several approvals were granted without ensuring compliance with prescribed conditions, enabling developers to secure greater development potential than originally envisaged.
The audit also identified shortcomings in the SRA’s internal control and supervision mechanisms. According to the report, the authority lacked robust systems to verify calculations relating to rehabilitation tenements, sale components and TDR generation, increasing the scope for errors and discretionary decision-making.
Recognising the importance of slum rehabilitation in providing formal housing to eligible residents, the CAG stressed that redevelopment projects must be implemented with greater transparency and accountability while safeguarding public assets and government revenue.
The audit has recommended that the SRA strengthen its approval process, ensure uniform implementation of development regulations, improve internal controls, periodically verify project entitlements and recover all applicable charges from developers in a timely manner.
The findings are expected to trigger greater scrutiny of redevelopment approvals and administrative procedures within the SRA as Mumbai continues to undertake large-scale slum rehabilitation and urban renewal projects.
Source: Prop News Time
