Maharashtra govt passes bill allowing SRA to recover pending transit dues

The Maharashtra Assembly passed a bill amending the Slum Area (Improvement, Clearance and Redevelopment) Act, 1971, on Wednesday, which allows the Slum Rehabilitation Authority (SRA) to recover pending transit rent dues from builders or developers.

The amendment bill seeks to treat unpaid rent to slum dwellers as arrears of land revenue, thereby empowering the SRA to initiate recovery proceedings under the Maharashtra Land Revenue Code (MLRC). 

 

As per the proposed amendment, if a defaulting builder lacks sufficient company assets to clear the dues, the liability can extend to the personal property of its directors or partners. Currently, the SRA can issue stop-work notices or deny new permissions to a defaulting developer.

The bill also seeks to reduce the window for dissenting slum dwellers to join the SRA schemes - from 120 days to 60 days - once a majority (over 50 per cent) has consented to a redevelopment plan.

After 60 days, those who do not join the scheme risk losing their claim to on-site rehabilitation and may only be considered for relocation elsewhere, subject to availability.

Another provision of the bill allows land under slum redevelopment to be handed over to government agencies like MMRDA, MHADA, MSRDC, and CIDCO within 30 days of issuing a letter of intent, enabling a faster execution of public sector-led projects.