Ulhasnagar’s Scrap Scam Unfolds
• High Court Orders Ignored, Loot Continues
• SIT Probe Sought in UMC Corruption Nexus
• Fake GST Bills Fuel Demolition Fraud
Unmesh Gujarathi
Sprouts News Exclusive
Contact: +91 9322755098
Ulhasnagar Municipal officials Ganesh Shimpi and Manish Hirve face serious corruption charges, including ₹3.25 lakh bribery, unauthorized scrap loot worth ₹6.7 lakh, and fake demolition bills via Giriraj Construction. Despite High Court orders and multiple complaints, no FIR is registered. A high-level SIT probe is urgently sought to expose this civic scam.
In yet another shocking instance of alleged municipal corruption, serious charges of bribery, extortion, and large-scale financial fraud have surfaced against Ulhasnagar Municipal Corporation (UMC) officials. Nodal Officer Ganesh Shimpi and Ward Officer Manish Hirve are at the center of a scandal that exposes an organized system of illegal bribe collection, unauthorized scrap disposal, and fraudulent billing running into lakhs of rupees.
The complainant, Bhushan Khatri, has approached multiple government authorities — including the Anti-Corruption Bureau (ACB), Director General of Anti-Corruption in Mumbai, The Police Inspector Mr. C. M. Godse of Ulhasnagar Police Station and even the Chief Secretary of Maharashtra — with extensive documentary and audio evidence to support his charges. Despite multiple complaints submitted since August 2024, no FIR has yet been registered against the accused officers.
Alleged Bribery for Demolition Authorization
At the heart of the controversy lies Khatri’s property — Padam Market, located at Bhaji Market, Ulhasnagar-2. The dilapidated building was dangerously unsafe and scheduled for demolition under the directives of the Bombay High Court in Writ Petition No. 11215 of 2024.
According to Khatri’s complaint, Ulhasnagar Municipal Corporation (UMC) officials demanded ₹3.25 lakh in bribes to issue demolition clearance for his private property. The bribe was allegedly routed through demolition contractor Nayan Lokhande, who admitted in a recorded audio statement that he paid the sum directly to Nodal Officer Ganesh Shimpi. The Sprouts News Investigation Team (SIT) has reviewed excerpts of this audio evidence, which was submitted to the ACB along with a written transcript.
Despite assurances by senior ACB officials to register the case, formal action has been conspicuously delayed, raising questions over bureaucratic interference and the influence wielded by the accused officers.
Audio Tapes Reveal Threats and Extortion
The complaint further states that when Khatri attempted to replace Lokhande after delays in the demolition process, he was threatened by Shimpi. In an audio clip submitted to investigators, Shimpi reportedly stated:
“If you change our appointed contractor, UMC will cancel your authorization and demolish the building themselves.”
The contractor had already taken away several tempo truckloads of valuable iron, aluminum, and copper scrap but failed to pay Khatri the agreed amount. Instead, the contractor disappeared, while Shimpi and Hirve allegedly manipulated the situation to facilitate further misappropriation of leftover scrap.
The Sprouts News Investigation Team (SIT) analysis estimates the total value of the looted scrap — including iron, aluminum, copper wires, and electrical fittings — at approximately ₹6.7 lakh.
Unauthorized Contractor Appointed, High Court Intervention
In a surprising turn of events, Ward Officer Manish Hirve allegedly revoked Khatri’s authorized demolition permission and appointed a new contractor, Baban Shukla, without following due legal procedures. Notably, Shukla operated under the false name “Shivaji Chavan” while removing large quantities of leftover scrap.
Khatri was forced to approach the Bombay High Court once again, which passed an urgent order on August 8, 2024, authorizing Khatri’s family to complete the demolition independently and restraining the municipal corporation from further interference.
However, despite the court’s order, Shukla continued removing valuable materials from the property until late that evening, reportedly on direct instructions from Ganesh Shimpi. Photographic evidence of these operations was submitted to the authorities and reviewed by Sprouts News Investigation Team (SIT).
Widespread Scrap Looting Racket Inside UMC
Khatri alleges that this is not an isolated incident but part of a larger, systematic scam within UMC. According to him, several buildings demolished under UMC supervision generate substantial scrap material, which is neither inventoried nor officially recorded. The Ward Officer and Nodal Officer allegedly siphon off this unrecorded material for personal gains.
Multiple contractors, including Mehboob, Nayan Lokhande, Baban Shukla, Anwar, Pradhan, and Zalil Khan, are reportedly involved in this parallel scrap disposal network. These private contractors often compensate building owners for the scrap, instead of charging demolition fees. Yet, UMC continues to generate and pay bogus invoices to an entity named M/s Giriraj Construction, fraudulently claiming expenses for demolition work that was never performed.
Bogus Billing Scam Runs Into Lakhs
The most alarming aspect of this alleged scam involves massive financial irregularities through fake GST bills. Official UMC records list numerous buildings, such as Jai Mangal Murli Apartment, Ambica Sagar Apartments, and Hiranand Apartments, as having incurred substantial demolition costs. However, these demolitions were actually executed by private contractors who paid scrap compensation rather than billing UMC.
For example:
•Ambica Sagar Apartments was billed ₹16.89 lakh.
•Hiranand Apartments was billed ₹13.28 lakh.
•Padam Market was falsely shown to have demolition work done by Giriraj Construction despite no actual services being provided.
In his affidavit to the Bombay High Court, Manish Hirve submitted fabricated invoices from M/s Giriraj Construction, backed by forged GST documents. The complainant has attached these invoices as evidence under Exhibit H.
Also Read: NBWs Issued for Principal, HODs in Kapol School Student Harassment Case.
A Parallel Government Within Ulhasnagar Municipal Corporation?
The Sprouts News Investigation Team (SIT) has uncovered that both accused officers, originally appointed as clerks and stenographers, have amassed disproportionate wealth over time. Despite multiple prior corruption complaints against them, they reportedly function as a “parallel government” within Ulhasnagar Municipal Corporation, controlling tenders, demolitions, and financial approvals.
Khatri has appealed for a high-level independent inquiry by the Maharashtra State Government, alleging that the influence of these officers has penetrated deep into UMC’s senior administration. He further claims that his formal complaint sent to UMC Commissioner regarding illegal scrap disposal remains unanswered, indicating administrative protection for the accused.
Need for SIT-Led Investigation into UMC Corruption Nexus
The scale, complexity, and brazen nature of these allegations underscore the urgent need for an independent probe led by a Special Investigation Team (SIT) under the State Government. The Sprouts News Investigation Team (SIT) emphasizes that without political and administrative will, these entrenched corruption networks within Ulhasnagar Municipal Corporation may remain unexposed, allowing continued plunder of public resources.
Corruption in civic bodies not only deprives public coffers but also erodes public trust in governance. Immediate and decisive action against officials like Ganesh Shimpi and Manish Hirve will serve as a strong deterrent against misuse of public office for personal enrichment.
Repeatedly called Ganesh Shimpi for comment, but he did not answer the call.
