HC: Builders want to ‘bite the cherry’; fined Rs. 1 lakh

Mumbai: In a stinging observation, the Bombay High Court said that some builders wanted to “bite at the cherry” when they failed in one of a bunch of petitions filed by cooperative housing societies (CHSs) in Bhayander (Thane) seeking ‘unilateral deemed conveyance certificate’.

Coming down heavily on the two concerned builders – Janata Housing Pvt. Ltd. (JHPL) and its sister-concern Sheth Land Development Corporation (SLDC) – Justice Sandeep V. Marne sharply noted that the latter was seeking “another bite at the cherry” in the Divine Blessings CHS case, in the Jesal Park residential layout.

The judge said that both JHPL and SLDC appear to be ‘promoters’ in the project and so, cannot ‘split’ themselves by filing multiple petitions challenging the earlier orders of the Thane Cooperatives Department District Deputy Registrar & Competent Authority (DDR&CA) on the societies’ demand for unilateral Deemed Conveyance.

Later, the Divine Blessings CHS was granted the unilateral Deemed Conveyance, but the builders challenged it, leading to the current order.

Incidentally, official sources reveal that the JHPL-SLDC have reportedly challenged the critical document granted by  DDDR-CA to around a dozen local societies.

“The court does not appreciate the conduct (of the builder) in keeping the Respondent-Society in the continuous course of litigation by filing multiple proceedings raising the same issues…. The petition is gross abuse of process of law,” ruled Justice Marne, slapping a fine of Rs. One-Lakh on the builder as costs to the Society payable within a month.

In a similar vein, Justice Marne reversed a contentious order of the Thane DDR&CA Kishore N. Mande (on March 28, 2024), rejecting several applications by a bunch of CHSs seeking ‘unilateral Deemed Conveyance certificate’.

The landmark verdicts in these separate but related matters, could benefit nearly a 100 such Societies in Bhayandar and many hundreds more in Maharashtra, said experts.

Coming to the aid of the beleaguered Society members awaiting redevelopment, on March 20, 2025, Justice Marne provided relief to “Vandana”, “Prarthana”, “Prerana” and “Upasana”, all CHSs, located in the 40-year-old Jesal Park layout, adjacent to Thane Creek.

Council for Protection of Rights (CPR) President and Barrister Vinod Tiwari lauded Justice Sandeep Marne' “courageous verdict which is a severe warning” to all crooked builders and conniving government officers.

"Due to this evil nexus, hundreds of revamp projects are stuck in Mumbai and other big cities, spelling misery for lakhs of society members," Tiwari told The Perfect Voice.

Hailing the judgement, the four societies’ Coordinator Pankaj Gupta, claimed it will green-light the Deemed Conveyance and allow revamp of these and other dilapidated old buildings, which languished for years thanks to multiple litigations for flimsy reasons.

Gupta said the judgement is a boon to all CHSs desperate for redevelopment, but are stuck in avoidable legal quagmire, mostly initiated by the conniving builders-officials, to harass the society members.

In the judgement, Justice Sandeep V. Marne said that one of the reasons cited by the Thane DDR&CA of Cooperative Societies, for rejecting the application for unilateral Deemed Conveyance was ‘incomplete layout’.

However, once the Occupation Certificate is issued to the building constructed in the layout and a CHS formed, then the Society can ask for unilateral Deemed Conveyance, said the judge.

The judge alluded to a GR (June 22, 2018) which clearly indicates granting of unilateral Deemed Conveyance of the land and building where several buildings are under construction on a single plot or work on all has yet to be completed.

The high court overturned the DDR&CA’s ground for rejecting the unilateral Deemed Conveyance that the sanctioned plan copy was not ‘legible’, saying the CHSs could have been easily asked to produce a clearer copy of the same.

On the DDR&CA argument of an alleged ‘mismatch’ of the area in the Certificate of Architect – Justice Marne said the architect or the builder could have been asked to submit a fresh Certificate.

Setting aside the order (March 28, 2024), the judge remanded the four CHSs’ proceedings back to the DDR&CA to decide them, as per the GR (June 22, 2018), and give full opportunity to the aggrieved societies plus the developer along with the relevant documents submitted by them.

Counsel Bishwajeet Mukherjee and Advocate Humera Syed appeared on behalf of the middle-class petitioner-Societies – unitedly fighting against the powerful builders JHPL and SLDC.