Mumbai Land Sale Sparks Outrage
• Private Trust Nets Rs 539 Crore from Public Land
• Public Plot Meant for Khadi, Used for Profit
• Mumbai Land Deals Under Policy Lens
A major land deal in Borivali has come under scrutiny after a government plot originally allotted for khadi and rural industries was sold for a staggering Rs 539 crore by a private trust. The Sprouts News Special Investigation Team (SIT) has uncovered that the land, given to the Mumbai Khadi and Village Industries Association—popularly known as ‘Kora Kendra’—was initially allocated in 1956 under strict conditions. However, evidence suggests that the trust flouted these terms over the years.
Despite a prior order by the Suburban District Collector to reclaim part of the land due to misuse, the same authority later approved the transfer of 3.84 acres to the trust for just Rs 51 crore. That very plot has now been sold to a private developer at a nearly tenfold profit. This development raises serious questions about administrative inconsistencies and potential lapses in oversight.
• Misuse of Land Meant for Khadi Industry Raises Policy Concerns
The 39-acre land parcel was granted with the objective of promoting khadi, cottage industries, and agricultural use. Instead, the trust gradually repurposed the space for commercial events such as lavish weddings and garba nights, while only one corner was used for token khadi exhibitions. Social activist Reji Abraham was the first to file a formal complaint regarding the trust’s violations.
Site inspection reports confirmed the land was being used for commercial rather than intended public purposes. Based on these findings, the then Suburban District Collector ordered repossession. These orders were upheld by both the Divisional Commissioner and the Revenue Minister at the time. However, the decision was later overturned by a subsequent Revenue Minister, allowing the trust to retain the land.
The reversal of this decision has proven lucrative for the trust, while the state government received only Rs 51 crore from the transaction—an amount now being seen as grossly undervalued given the Rs 539 crore resale.
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• Mumbai land scam: Mumbai Development and Land Allocation Under the Scanner
The handling of this Borivali land deal exposes cracks in Mumbai’s land allocation policy, especially concerning public land entrusted to private bodies. Stakeholders in urban development, land policy, and public resource management are questioning the rationale behind approving ownership rights to a party previously found in violation of terms.
Despite repeated attempts by the Sprouts News SIT, neither the Suburban District Collector Rajendra Kshirsagar nor trust committee member Tejan Botadra provided any comment. Their silence only deepens the cloud of opacity surrounding the deal.
As Mumbai continues to expand, such episodes risk undermining public trust in the city’s land governance framework. The Sprouts News Special Investigation Team will continue monitoring this case for future developments.
