Shiv Sena (UBT) leader Uddhav Thackeray has opened a front against billionaire Gautam Adani’s Adani Group. The leader, who lost his chief ministerial post last year because of a rebellion of his party’s MLAs, said he would spearhead a march to the Mumbai office of the conglomerate on December 16. The announcement comes amid a massive rally in the stocks of the Adani Group on the stock markets. Here’s why Thackeray plans to take on Adani.
Thackeray claimed on Tuesday that the Maharashtra government provided special favours to the conglomerate, which had bagged the Dharavi redevelopment project.
He said many suspicious decisions had been taken by the government to unduly favour the Adani Group in the redevelopment project of the country’s biggest slums.
“It also includes a TDR (Transferable Development Rights) sale clause which will benefit the Adani group significantly. To protect the interests of the residents of Dharavi, the Shiv Sena will march to the Adani Group office on December 16. I will lead the march,” the former Maharashtra chief minister said.
What is the Dharavi development project and controversy regarding it?
In July, the Adani Group bagged the Maharashtra government’s contract to redevelop 259 hectares under the Dharavi redevelopment project.
“Enough information is available about the redevelopment project which raises suspicion about whether the government is trying to give benefit to Adani at the cost of Dharavi residents,” Thackeray added.
Thackeray said the government has made it mandatory for all builders to buy first of 40 percent transferable development rights from the Adani Group firm to develop any project in Mumbai.
He said the government TDR could have been sold off. However, the government has allowed to profit a private company from it, he claimed. He said why would the residents of Dharavi get small houses if the company was going to earn huge profits.
Also read: Adani Group can now earn more from TDR in Dharavi Redevelopment Project
Thackeray demanded that the project should be developed by the state government. He claimed the government would kick out 90000 slum-dwellers that are not considered eligible for rehabilitation under the project.
He said the Adani Group would also get projects like the government colony in Bandra, Abhyudaya Nagar and Adarsh Nagar.
He wondered whether the government would give the entire Mumbai to “one person”.
The controversy erupted over the state government’s recent decision to change the Development Control Rules (DCR), allowing the use of Transfer of Development Rights (TDR) without an indexation. This change reportedly mandates all city builders to buy the first 40% of their required TDR from DRP only.
Also read: Why concessions for Adani in Dharavi project, asks Uddhav
The Congress had called the decision the Maharashtra government’s Diwali gift to the Adani Group.
The Urban Development Department of the state government through a notification modified the rules. As per the old rules, there was a provision of indexation for using TDR which means that there would not be any cap on area-specific use of the TDR. For instance, if 1,000 square feet of TDR is generated from a specific project, the same quantum is not allowed to be used in plush markets like south Mumbai and only 100 square feet of it is allowed to be used. The modification of notification means there will be an equal quantum of generated TDR available for use. In short, the total area generated out of the TDR could be utilised now in areas like south Mumbai, Bandra, Juhu, Vile Parle, where real estate is costlier.
This also made it mandatory for the builders in Mumbai to buy the first 40 percent of TDR from the project, reportedly profiting the group.
The Adani Group had won the DRP with a bid of ₹5069 crore.
With inputs from PTI, Saurabha Kulshreshtha
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