Congress demands probe into alleged ₹1,200-cr BMC staff colony redevelopment scam
As a curtain-raiser, Congress leaders in Mumbai have called for an investigation into an alleged ₹ 1,200 crore redevelopment scam involving the MCGM Staff Colony plot in Andheri. The allegations include unauthorised dual approvals granted in 2011 and 2021, illegal demolitions, and misuse of public land.
The campaign is being led by Congress MP Varsha Gaikwad, the party's Mumbai chief; former corporators Mohsin Haider and Ashraf Azmi; and party spokesperson Suresh Rajhans.
The BMC staff colony is located on a prime plot near Juhu Lane and Barfiwala Road, valued at over ₹ 1,200 crore. According to the Congress's allegations, the 4497.1 square-metre plot, originally reserved for housing Class IV municipal employees, has been simultaneously sanctioned for two separate redevelopment projects—under the Slum Rehabilitation Authority (SRA) and the Ashraya Yojana, a BMC scheme to redevelop and provide housing for its conservancy staff.
In a detailed complaint letter addressed to municipal commissioner and administrator Bhushan Gagrani dated May 5, the Congress leaders highlighted the apparent collusion between civic officials and private developers. The letter called for an immediate stay on all construction activity on the site, highlighting procedural violations, land ownership ambiguities, and the unjust eviction of long-standing residents.
'The plot has been sanctioned for redevelopment under both SRA (2011) and Ashraya Yojana (2021), without formally cancelling either,' said Gaikwad. 'BMC has demolished 55 staff quarters, 85 hutments, and a welfare centre, despite no withdrawal of the slum notification or NOC under SRA. No eligibility survey or alternative housing provisions were made for 85 families, violating constitutional rights and housing laws.'
Gaikwad added that officials ignored 2011 eligibility guidelines while declaring residents ineligible, even though prior documents listed their occupancy. Haider alleged that the developer was paid ₹ 10 crore between 2021 and 2024, with ₹ 14.36 lakh spent on a welfare centre that was subsequently demolished. While the undivided Shiv Sena ruled over the BMC for over three decades till 2022, India's richest civic body has been under an administrator's rule since then due to ongoing court cases.
The Congress leaders have urged Gagrani to initiate disciplinary proceedings against civic officials involved in the allegedly unauthorised demolitions and misuse of authority. They have demanded the restoration of the plot for its original municipal housing purpose and an independent investigation into the alleged ₹ 1,200 crore land misuse scam. They have also asked for all 85 hutment dwellers residing on the site since before 2011 to be either rehabilitated or provided rent compensation.
'We will unearth scams related to BMC every week,' said Haider. 'For 3.5 years, with no elected body, the BMC has arbitrarily passed proposals.' HT reached out to Gagrani for his reaction to the allegations, but he remained unavailable for comment.
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