CAG raps MBRRB over slackness in repair of cessed buildings

A cessed building is one that was built in the city before 1940

Image
Press Trust of India Mumbai
Last Updated : Apr 18 2013 | 5:02 PM IST
The Comptroller and Auditor General (CAG) has asked the Maharashtra government to evolve a transparent policy and criteria for prioritising the repairs of cessed buildings.

The CAG in its performance audit report on functioning of the Mumbai Building Repairs and Reconstruction Board (MBRRB) tabled in the Legislative Assembly today said the pace of repairs and reconstruction/redevelopment of old cessed buildings undertaken by it, has been sluggish.

A cessed building is one that was built in the city before 1940. The state government has taken it upon itself to see to it that these buildings are repaired and, wherever necessary, reconstructed.

Out of the 19,642 cess buildings identified, MBRRB which came into existence in 1971, has so far reconstructed/redeveloped only 1,482 of them. The planning was deficient in the absence of priority list of cessed buildings which required structural repairs and lack of time-bound plans for reconstruction and redevelopment, it said.

The poor recovery of cess and service charges had an impact on the finances of the MBRRB thereby impeding its ability to carry out repairs and reconstruction works.

Delay in the reconstruction and redevelopment of cessed buildings and consequent shortfalls in meeting the targets led to dislocation of 7,872 tenants, who continued to occupy the transit tenements for a period ranging from one year to over 25 years.

Similarly, 627 surplus tenements received from developers were lying vacant for more than 20 years without allotment.

At the end of March 2012, the arrears in collection of cess and short remittances by Brihanmumbai Municipal Corporation (BMC) and the state government to the MBRRB was Rs 907.81 crore. Structural repairs of 3,187 buildings though identified were not sanctioned due to fund constraints.
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Apr 18 2013 | 4:55 PM IST

Next Story