That's the amount that will be spent from the exchequer because builders did not fulfil contractual obligations in 32 rehabilitation projects, an RTI has revealed THE greed of some builders and officials in the city is set to cost taxpayers an estimated Rs 640 crore, an RTI query has revealed. Between 2004 and 2008, the MMRDA had allotted 32 relief and rehabilitation projects to 25 builders. While the projects were completed on paper, residents, including Sulaiman Bhiwani, who filed the RTI, have alleged that the builders did not fulfil contractual obligations such as installing streetlights, constructing drainage and sewer pipes and ensuring a water supply connection to the buildings. <img alt="" src="/imagedata/2011/mar/tower12.jpg" border="5" /> The residents of the rehabilitation buildings have alleged that the builders did not fulfil contractual obligations such as installing streetlights, constructing drainage and sewer pipes and ensuring a water supply connection to the buildings The MMRDA has now signed on the BMC to complete the work in the 32 projects and has promised to pay the civic body the cost of the same. Surveys conducted by the BMC have pegged the cost of installing these basic amenities at Rs 20 crore per project by conservative estimates, which means the entire expenditure will be a whopping Rs 640 crore. "The agreement signed between the builders and the MMRDA (copy with MiD DAY) clearly states that the builders were supposed to install things like streetlights and ensure proper water supply and drainage systems. u00a0 They have been allowed to walk away without completing the work despite being paid for it and now taxpayers have to shoulder the burden," said an official, on condition of anonymity.u00a0 Contract The builders' contract with the MMRDA states that the builders will provide standard on-site and off-site infrastructure while building the projects. Their contract included providing internal roads, storm water drains, water-supply lines, adequate sewage pipes etc. Bhimani said, "I had a shop in Juhu and was shifted to Oshiwara after the road was widened. None of the basic amenities are available here. There are no streetlights and the condition of the sewage pipes is very bad. Cracks are also visible on the walls of the building already. u00a0 I have been fighting to show that the MMRDA, builders and BMC are all involved in this. Now the money of the public will be used because the builders did not fulfil their contract." MMRDA's letter After the residents started complaining to the MMRDA about the problems they were facing due to the lack of these amenities, the then MMRDA chief, Ratnakar Gaikwad, wrote a letter to the then municipal commissioner Swadhin Kshatriya about the 32 projects. The letter said that the MMRDA had rehabilitated more then 3 lakh project-affected persons in the projects and asked the BMC to conduct a survey of the basic amenities that were missing and how much it would cost to install them. It asked the BMC to take the projects under its wing and make provisions for the amenities at the MMRDA's cost. Work on the basic amenities is yet to begin, however, as the BMC says it is awaiting money from the MMRDA and the authority, in turn, says it is waiting for the civic body to give it the estimates. Builder's take Manoj John, a spokesperson from Skyline Developer, which constructed the Oshiwara ODC in Goregaon (West), said, "The off-site infrastructure is supposed to be taken care of by the MMRDA. u00a0 We had even paid the premium for the same while handing over the building about 4 years ago. All the internal work was complete and in good shape when we had given the building to them." The Other Side Asked why the builders were not being asked to reimburse the expense, Gaikwad said, "The builders provided all the amenities as per the contract which is why the clearances were issued. u00a0 The BMC was reluctant to take over maintenance of these colonies, especially with regard to solid waste management, roads, drainage and streetlights on the ground that some of them were not as per their specifications. The fact is, however, that the BMC had approved these amenities and their specifications at the relevant time. However, to finally resolve the issue and handover the colonies to the BMC, we asked the civic body to survey them." Assistant Municipal Commissioner Bhagyashree Kapse of the P South ward said, "We cannot send the estimate directly to the MMRDA as we have to first send it to our accounts department and then to the authority through the Municipal Commissioner. We are waiting for the money which was supposed to come from the MMRDA. We will start the work when the money arrives." The current MMRDA chief, Rahul Asthana, said, "We are waiting for the BMC survey as the work is to be done according to their standards." u00a0 When MiD DAY pointed out that the BMC said the survey had already been done, he said, "I will have to check and we will start the work." He said he would have to also check whether the builders were supposed to provide the amenities.

That's the amount that will be spent from the exchequer because builders did not fulfil contractual obligations in 32 rehabilitation projects, an RTI has revealed

Taxpayers to pay Rs 640 crore for builders' lapses

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Taxpayers to pay Rs 640 crore for builders' lapses

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