Sanjay Jog Mumbai, Mar 12: The Shiv Sena-BJP government's decision to vacate ban on land development and regularise residential construction work of 5,489.24 sq mt on 4,898.89 sq mt of land by Sriram Mills has been taken despite dissent opinions given by the urban development and textile departments.Girni Kamgar Sangharsh Samiti (GKSS) has threatened to challenge the state government's decision by filing a writ petition in the Mumbai high court next week. The GKSS has also declared to disrupt the proceedings of the state legislature during the ensuing budget session beginning from March 16. GKSS has charged that the state government's decision was pro-millowner and anti-workers.
The ruling alliance cleared the Sriram case on Tuesday after seeking an opinion from the state advocate general CJ Sawant. According to highly confidential cabinet note, Sawant has opined that the permission granted by the Mumbai Municipal Corporation (MMC) under Development Control Rule 51 and 52 to Sriram Mills for the use of land for commercial and residential purposes was valid.
Ironically, textile department had objected the Mill's decision to implement the revival package through the utilisation of floor surface index (FSI) worth 1,20,000 sq ft granted for residential purposes. Interestingly, the textile department has also mentioned that the MMC had granted intimation of disapproval and commencement certificate to the Mill under Development Control Rule 58 though the permission of land development was given under DC Ruled 51 and 52. DC Rule 58 relates to development or redevelopment of lands of cotton textile mills.
Textile department had also taken objection for intimation of disapproval (IOD) granted by the MMC and added that irregularities had taken place in clearing the Mill's proposal under DC Rule 58 (1) (a). Textile department had opined that the scheme should have been covered under DC Rule 58 (1) (b) related to the development of land for residential purposes.
The cabinet note further said that Sriram Mill's first revival package was worth Rs 54.48 crore while the revised package cleared by the Appellate Authority for Industrial and Financial Construction was to the tune of Rs 164.16 crore.
Both textile and urban development departments had also taken serious objection on the Sriram Mills' decision to illegally lease out part of administrative buildings to a private company. Textile department had already expressed serious concern over the leasing of part of administrative building without proper licence. The urban development department had directed the MMC to take necessary action against the Mill.
Chief minister Manohar Joshi though justified his government's decision failed to further elaborate on the advocate general's opinion.
The GKSS alleged that the Sriram Mills "in connivance with the IDBI (operating agency) obtained permission from Board for Industrial and Financial Reconstruction (BIFR) for the sale/development of 1,20,000 sq ft." It further added that neither the state government not the IDBI objected to the area that time.
The GKSS said that after the demolition of part of the processing department by the Mill an area of 59,000 sq mt was created which was referred as "surplus" FSI. It added that the Mill sold the said FSI without setting up a sales and asset committee.
The GKSS alleged that the Mill after closing down departments illegally, it obtained resignations from large number of workers.
According to the revised scheme cleared by the AAIFR, the weaving department was closed down and the spindles were reduced from 1,22,576 spindles to 40,000 spindles. The processing was reduced to 50,000 metres of cloth per day while the strength of employees was reduced to 1,400.
The GKSS said, at present, the entire company was closed and the Mill had failed to carry out modernisation.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
