MahaSEWA urges CM to regularise over 10,000 structures with the collection of fines, but not all legal experts back the idea
Many builders have allowed buyers to occupy flats without an OC. Representation pic
Citing that over 10,000 residential buildings in Mumbai do not have an occupation certificate, non-profit MahaSEWA has urged the chief minister to bring out an amnesty scheme. Since it’s illegal to live in a building without an OC, MahaSEWA says the government can regularise those structures that came up before December 31, 2020, by collecting fines. Some legal experts say strict action against developers can resolve the issue.
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Though one of the most important documents for a building, many developers allow flat buyers to occupy apartments without OC, which is issued only after a developer complies with a set of conditions.
“In 2004-05, an OC amnesty scheme was initiated which was not successful for various reasons. We at MahaSEWA have represented to the CM to bring a new amnesty scheme to provide OC to all buildings which have been occupied for many years,” said Ramesh Prabhu, founder chairman of Maharashtra Societies Welfare Association (MahaSEWA).
Prabhu said builders often do not fulfil a host of obligations like handing over recreation or playground to the planning authority, getting NOC from the Collector and Tree Authority and payment of taxes and premiums to BMC that are essential to getting an OC.
“There may be an encroachment of common area or closing of the balcony or excess use of FSI than permitted.. There may be many violations done by the developer or the residents. Now, having permitted the purchasers to occupy the flats, providing water on humanitarian ground, conveyance permitted without OC etc., obtaining OC has remained as only a paper requirement. Therefore, it is time for the government to bring an amnesty scheme to regularise all lapses and provide OC,” explained Prabhu.
He said the government should provide the OC to buildings on submission of documents like proof of occupation, completion certificate and fire compliance clearance.
“However, for all dues, FSI violations, penalty, premium, etc., the developer or the builder should be booked and the charges should be recovered from him. The same may be reported to MahaRERA and the planning authority that if any partner of such a builder approaches the BMC for new permissions, or new Rera registration, the same should not be granted till the old dues of the planning authority are cleared. Nothing should be charged to society,” added Prabhu.
‘Scheme to help builders’ lobby’
Advocate Godfrey Pimenta, a trustee of Watchdog Foundation, differed. “Such an amnesty scheme is nothing but a scheme to protect the interests of builders’ lobby. Why should the flat purchasers or housing societies be made to run from pillar to post to gather documents to obtain the OC? asked Pimenta. He said even the deemed conveyance scheme didn’t succeed for the same reason.
“I am strongly of the view that a mere amendment in the Maharashtra Ownership Flats (Regulation of the promotion of Construction, Sale, Management and Transfer) Act, 1964, is required which casts an obligation on the builder to obtain the OC in a time-bound manner failing which the offence should be made non-bailable attracting jail term of 5 years or penalty of minimum R1 crore or both,” said Pimenta.
Expert view
Advocate Vinod Sampat, founder president of Co-operative Societies Residents Association, said the situation is the fallout of collusion between builders and BMC officials.
While BMC allows people to occupy flats without OC on humanitarian grounds, officials do not disclose that water and property taxes are charged at double the rate besides the forfeiture of the security deposit, he said. “The need of the day is to put such builders and municipal officials behind bars who have no respect for the provisions of law. Glaring instances of violation is Tilak Nagar where BMC has not given OC to almost all buildings that have gone for redevelopment in the complex [over 50] except for about 4 buildings.”
While the government has told the Assembly that about 50 per cent of the files of the building proposal department for the western suburbs are not traceable, Sampat said, hardly any steps have been taken by the BMC to create duplicate files. “Many leading builders provide double walls where the same can be broken and have an area of about 400-500 sq.ft. can be encroached at a later date. This is an untold secret known to people connected with the real estate industry.”
Citing the Friends Colony case in the Supreme Court case, he said even the court said that builders would know the law better. “Our Association supports granting OC to innocent purchasers, but the government should take action on such unscrupulous builders.”
Don’t overlook occupation certificate
What is OC?
Occupation Certificate (OC) or Completion Certificate is proof that a building has been constructed as per approved plans. The OC from the planning authority is essential for any construction as per the law.
Why is OC important?
It is mandatory for every residential or commercial complex to obtain OC. However, OC is not required for flat registration. Because of this, many buyers tend to overlook OC, which also plays a significant role in getting a home loan. It is illegal to occupy a flat if the building doesn’t have the OC. Such buyers can be prosecuted by the municipal corporation.
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