MHADA Reduces Penalty Rates for Irregular Plot Use for Six Months Under Abhay Scheme

Mumbai: The rates of penalty charged by plot holders who have committed irregularities in the use of plots under MHADA's jurisdiction have been reduced under the Abhay scheme. The scheme will be applicable for six months, the MHADA said, adding that the irregular work done by the plot holders will not be considered regular even after paying the penalty amount. Action will be taken by MHADA.

A resolution has been passed to bring regularity for various activities such as transfer fee to be levied on leased plots to various cooperative housing societies and individuals in the state, changes in the reserved use of plots, and improvement of penalty rates charged by plot holders who violate the terms and conditions, as well as renewal of lease, and determination of lease amount.  

A 50 percent penalty:

Transfer of land without prior permission and failure to use the plot for the purpose for which it has been allotted; it will attract a penalty of 50 per cent on 25 per cent of the annual market value rate. The penalty amount will be charged according to the ready reckoner of the year on which the leases are to be renewed. The penalty amount under the new policy will be communicated to the concerned institutions and plot holders and recovered accordingly.

Residents have complained to MHADA about several irregularities in the use of plots under MHADA. Taking cognizance of this, MHADA has initiated abhay scheme.

A penalty of 25 percent of the annual market value rate will be levied for non-construction and partial construction on 25% of the plot, using it for commercial purposes beyond the limit, renting and providing open space to local residents.

A penalty of 15% of the market value will be levied on 25% of the market value for not reserving admission for MHADA employees from 15% educational institutions, running classes in English instead of Marathi as the medium of instruction, not admitting children of MHADA colonies on priority, etc. 

Failure to apply for renewal six months before the expiration of the 10% lease will result in a penalty of 10% of the ready reckoner rate of the year in which the renewal application is submitted.