July 24, 2025: A recent report by the Comptroller and Auditor General (CAG) has uncovered that several private developers in Mumbai collectively owe the Maharashtra Housing and Area Development Authority (MHADA) a staggering Rs 261.14 crore in unpaid dues for transit tenements. These dues relate to redevelopment projects that began nearly 25 years ago.
Transit tenements are temporary housing units provided by government agencies like MHADA to accommodate residents displaced from old or dilapidated buildings, or those affected by slum redevelopment projects. These temporary shelters ensure tenants have a place to stay while their original buildings are being reconstructed. Typically, developers involved in such projects are responsible for arranging this temporary housing, often using MHADA’s transit accommodation facilities.
According to the CAG’s audit, MHADA had allotted a total of 3,357 transit tenements to 43 private developers over the years. As per the terms of these allotments, developers were required to pay one year’s advance rent along with a security deposit equal to three months’ rent at the time of allocation. However, the report found that only three of the 43 developers had cleared their dues in full.
As of March 2022, the remaining Rs 261.14 cr was still pending from the other 40 developers, highlighting a significant lapse in recovery efforts.
The CAG, India’s top audit body, routinely reviews government revenues and expenditures to ensure financial accountability. Its findings often spotlight inefficiencies and irregularities in public sector operations. This latest revelation adds to ongoing concerns over regulatory oversight and financial compliance within Mumbai’s real estate and housing redevelopment sector.
Source: Prop Time News
