A preliminary report submitted to the government says of the 6,739 flats built by Hiranandani Developers in Powai, 2,469 flats have been amalgamated.

The findings of the report are part of the latest affidavit filed in the Bombay High Court, which on December 4 restrained Hiranandani from selling amalgamated flats in Powai’s Hiranandani Gardens. The interim order was passed in two PILs alleging that builder Niranjan Hiranandani and his firm had violated a 1986 agreement for developing 230 acres of land under the Powai Area Development Scheme (PADS).

PADS was aimed at providing affordable housing to persons in the middle-income group with flat areas in the range of 40 square metre and 80 square metre. In 1989, Hiranandani was provided an exemption allowing it to merge flats on the condition that the amalgamated flats could not exceed 15% of the total development.

After the HC order, the government convened an emergency meeting on December 11 and formed a joint team of BMC and MMRDA officials. The team submitted its report on December 15 pointing out that Hiranandanis had amalgamated 36.64% of the total flats.

The petitioners have alleged that the Hiranandanis used PADS for “unjust enrichment and illegal profit by catering to the super-rich” by selling excess amalgamated flats.

According to advertisements issued by the Hiranandani Group, a three BHK in Powai is priced at Rs4 crore while a four BHK is pegged at Rs8 crore.

On Thursday, Hiranandani’s lawyer Iqbal Chagla said the advertisements showed flats that were part of the free-sale component under the TDR (transfer of development
rights) scheme. Arguments will continue on Friday.  

Sourced from :http://www.dnaindia.com/report.asp?newsid=1215233