In a landmark decision, the Bombay High Court has ordered the demolition of 65 illegally constructed buildings in Dombivli, dealing a severe blow to fraudulent real estate practices. The Kalyan Dombivli Municipal Corporation (KDMC) is set to execute the demolition this week, impacting approximately 6,500 homebuyers who were unaware of the scam.
Massive Real Estate Scam Unveiled
These buildings were declared illegal after it was discovered that developers had used fake building plans and forged RERA certificates to gain approvals. Many unsuspecting buyers had purchased homes in these structures after verifying supposedly legitimate documents, including building plan authorizations and RERA certifications. Some homebuyers had even secured housing loans from nationalized banks and availed benefits under the Pradhan Mantri Awas Yojana scheme, adding another layer of complexity to the issue.
Exposing the Fraud
The scam came to light in 2022 when architect Sandeep Patil uncovered fraudulent activities related to building approvals. Upon realizing that developers were selling apartments in unauthorized buildings using counterfeit RERA certificates, Patil reported the matter to KDMC. However, after no immediate action was taken, he escalated the issue to the Bombay HC. Following a thorough investigation, KDMC determined that between 2019 and 2022, developers had forged essential documents to construct and sell these buildings illegally.
Legal Action and Arrests
In response to the revelations, KDMC filed two FIRs, leading to the arrest of 15 individuals, including developers and those involved in fabricating building documents and official KDMC stamps. A Special Investigation Team (SIT) was subsequently formed by the Thane police to delve deeper into the fraudulent activities.
HC’s Verdict and Homebuyer’s Plea
In November 2023, the Bombay HC ruled in favour of demolition, rejecting appeals for leniency. Shocked residents, who had unknowingly invested in these buildings, sought time for regularization. The court granted an extension until February 3, 2025, for affected residents to apply for regularization. However, in a recent hearing on February 13, KDMC reported that of the 65 buildings, 38 had applied for regularization, but none met the required legal criteria. As a result, the HC reaffirmed its decision to proceed with the demolition.
KDMC’s Execution Plan
Additional Municipal Commissioner Yogesh Godse has confirmed that the demolition will commence shortly with police assistance to prevent any disruptions. The municipality is also taking steps to ensure similar fraudulent activities are not repeated in the future.
Impact on Homebuyers and Political Response
The court’s ruling has left thousands of homebuyers in distress, many of whom had trusted the authenticity of their property purchases. Rohan Gamare, a resident of Sai Galaxy, expressed frustration, stating that authorities should have intervened during the construction phase rather than after residents had settled in. Another affected buyer, Pranav Patil, pointed out that despite the buildings being declared illegal, KDMC had continued to provide basic amenities like water and electricity, further misleading residents.
In light of the crisis, Sena-UBT’s Kalyan district president, Dipesh Mhatre, has announced that a delegation led by Aditya Thackeray will meet Maharashtra Chief Minister Devendra Fadnavis to advocate for the affected homebuyers.
A Cautionary Tale for Future Buyers
This case serves as a stark warning to prospective homebuyers to thoroughly verify legal approvals before purchasing property. It also underscores the need for stricter regulatory oversight in the real estate sector to prevent such fraudulent practices in the future.