MP Varsha Gaikwad alleges scam of INR 1,251 crore in rehabilitation project in Deonar

  • Mumbai Live Team
  • Politics

Ahead of the Brihanmumbai Municipal Corporation (BMC) elections, the Congress has taken up the campaign 'Sarkar Mast... Mumbaikar Trast'. Under this campaign, the Congress has decided to expose one scam in the BMC every week. 

MP and Mumbai Congress President Varsha Gaikwad on Wednesday alleged a scam of INR 1,251 crore in the rehabilitation project in Deonar. Congress has alleged a scam in a rehabilitation project in the M East section of the municipality in Deonar. A tender was floated on October 20, 2022, for the construction of a total of 2,068 houses of 300 square feet each on a 24,891 square meter plot of land measuring 37,036 square meters in Deonar.

The contractor was selected in February 2023. The contract was awarded for work worth INR 709.77 crore. Later, the project was revised to cover the entire 37,036 square meter area in July 2023. The number of flats was increased to 3,398 and a proposal was submitted to increase the cost by INR 1,041 crore. 

The developer's demand to increase the Floor Area Index (FSI) was again accepted. The total project cost was increased by 42.23 percent. INR 18.28 crore was paid in November 2023 when actual work was not underway. In January 2024, a bill of INR 15.96 crore was again paid. 

The duration of this project was extended to 40 months in June 2024. However, Varsha Gaikwad has alleged that the civic body has not taken any action against the developer for the 17-month delay.

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In this case, the BMC dministration has favored the developers by changing all the rules and looting the money of Mumbaikars. Varsha Gaikwad has demanded that the entire scam is worth INR 1251 crore and that the officials involved in this matter should be investigated and punished and the builder should be blacklisted.

Tender and financial irregularities have been found in the Deonar project. Varsha Gaikwad said that answers should be given as to why INR 86 crore was paid without actually doing the work, why the cost increase of INR 359 crore was approved without a new tender, and why the scope, cost, and duration of the project were changed. 

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