After nearly 17 years of delays and years of stalled construction, the redevelopment of 35 slum pockets in Jogeshwari East may finally move forward. The Bombay High Court has upheld the recommendation to invite fresh bids for the project, which aims to rehabilitate around 7,200 slum dwellers.
A single-judge bench of Justice NJ Jamadar dismissed petitions filed by JC Flowers Asset Reconstruction Pvt Ltd and Manomay Ventures Pvt Ltd, which challenged an April 2026 order of the Apex Grievance Redressal Committee (AGRC). The committee had recommended that the Slum Rehabilitation Authority (SRA) invite fresh tenders to appoint a new developer for the project in Majas village.
Spread across approximately 50,000 sq metres, the project has remained incomplete despite being awarded in 2009.
Project stalled after construction stopped in 2018
The redevelopment was initially awarded to Omkar Ventures Pvt Ltd in 2009 for the composite redevelopment of 35 slum pockets in Majas village, Jogeshwari East.
Although several slum structures were demolished, only a limited number of residents were provided transit accommodation. The developer completed one rehabilitation building, accommodating 107 slum dwellers, and started work on two additional buildings.
However, construction stopped in 2018 after the company’s Rs 780-crore loan from Yes Bank turned into a non-performing asset. The bank subsequently assigned the loan account to JC Flowers.
Financial institutions enter the redevelopment process
In May 2022, the Maharashtra government introduced an amnesty scheme allowing financial institutions to become co-developers of stalled slum rehabilitation projects and facilitate their completion.
Under this arrangement, JC Flowers and co-lender Piramal Capital and Housing Finance appointed Aspect Buildcon LLP as the developer in September 2024.
In January 2025, the SRA terminated Omkar Ventures’ appointment, recognised Aspect Buildcon as the new developer and directed the financial institutions to clear pending transit rent dues.
Unpaid transit rent adds to project delays
The project continued to face difficulties, with several slum dwellers approaching the AGRC over pending transit rent payments.
During proceedings in October 2025, Aspect Buildcon expressed its intention to withdraw from the project. The AGRC subsequently gave the financial institutions time to appoint another developer.
After they failed to do so, the committee passed an order in April 2026 directing the SRA to invite fresh bids for the project.
The AGRC also recommended cancelling the benefits granted to JC Flowers under the state amnesty scheme and allowing the SRA to use the deposited funds to clear outstanding transit rent dues payable to affected families.
High Court upholds fresh bidding recommendation
JC Flowers and Manomay Ventures challenged the AGRC’s April 2026 order, arguing that the committee did not have the jurisdiction to issue such directions.
However, Justice Jamadar dismissed their petitions. The court observed that complaints from slum dwellers and a communication from the state government seeking a review of the scheme, in view of the prolonged delay, brought the matter within the committee’s jurisdiction.
The judge noted that thousands of slum dwellers had been left without a clear prospect of rehabilitation despite the amnesty scheme.
The High Court’s decision upholds the AGRC’s recommendation for fresh bidding. The state government can now take an appropriate decision on the recommendations after considering the facts and circumstances of the case.
While the ruling clears a hurdle in the redevelopment process, the appointment of a new developer and completion of the rehabilitation project are still awaited.
Source: Hindustan Times
