The Maharashtra government on Thursday, 2 July acknowledged that conditions governing the transfer and redevelopment of a 27-acre land parcel in Kandivali (West), Mumbai — originally earmarked for Mathadi workers — had been violated, and announced a comprehensive inquiry into the matter. Revenue Minister Chandrashekhar Bawankule told the Legislative Assembly that the government would move to reclaim 26,900 square metres of unconstructed surplus land included in a redevelopment deal without prior authorisation.

Background: How the Land Changed Hands

The 27-acre plot under Survey No. 149 in Kandivali (Borivali taluka) was originally allotted to the Cloth Market and Shops Board and subsequently transferred to the Vishal Sahyadri Co-operative Housing Society. Under the arrangement, 11,254 sq metres were allocated to Vishal Society, 334 sq metres to a Ganesh Temple, 2,000 sq metres to Rayat Shikshan Sanstha, and the remaining 99,116 sq metres were leased back to the Vishal Sahyadri Society.

When this Class-II land was converted to Class-I status, the government collected ₹42.07 crore as premium and ₹74.09 crore as stamp duty, Minister Bawankule informed the House.

Key Violations Detected

Authorities detected multiple breaches, including unauthorised extensions of construction deadlines, commercial use of the land, and subsequent transfers that fell outside permitted terms. While ₹21.67 crore had previously been recovered to regularise some of these violations, legal and procedural irregularities reportedly persisted.

The most significant breach identified was the inclusion of a 26,900 sq metre area in the agreement with the developer without first obtaining permission from the District Collector. The government has ruled this a major violation and directed immediate possession of the plot.

Probe Timeline and Agencies

Minister Bawankule stated that the Inspector General of Registration (IGR), Pune, would conduct an inquiry into stamp duty irregularities and procedural loopholes within the next 15 days. 'The entire data determining whether there was any manipulation at the lower administrative levels will reach the government in 7 to 15 days,' he said.

Directions will simultaneously be issued to the District Collector to initiate reclamation of the surplus 26,900 sq metre plot.

Mathadi Workers' Housing Demand

Local MLA Yogesh Sagar raised the unresolved housing needs of Mathadi workers during the Assembly discussion. 'Around 1,250 to 1,300 families of Mathadi workers, who used to carry cloth bales on their heads back in 1969–70, reside here. Even today, applications from many workers' children remain pending,' he said, urging that housing for workers be constructed on the surplus plot rather than a blanket reclamation.

Responding to the demand, Minister Bawankule said the government remained committed to delivering justice to Mathadi workers. 'If 1,600 to 2,000 houses are genuinely going to be built for the workers, the government is fully prepared to allot that land for the workers' housing after charging the required premium. We do not object to the developer receiving a sale component, but the government will not compromise on the rightful homes of the original Mathadi workers,' he stated.

Protection for Existing Residents

The Revenue Minister assured that common citizens and Mathadi workers residing in existing houses and built-up housing societies on the land would receive full protection. The government plans to convert these lands to Freehold status, granting occupants complete ownership rights. A meeting with the concerned society and MLA Yogesh Sagar has been proposed to chart the next steps.