The controversial proposal by Siddhi Group builder Mukesh Patel to contribute a portion of the costs for the Jagatpur flyover has been postponed for the seventh time.
In previous developments, the developer went back on his agreement to contribute 25% of the cost, instead deciding to pay Rs 7 crore towards the cost and promising to deposit two cheques of Rs 50 lakh each as advance, but the AMC has yet to receive a single paisa.
The proposal was postponed for the sixth time at a meeting of the roads and buildings committee on Friday.
According to sources, the ruling BJP is trying to limit Siddhi developer’s share to 10%, but city officials insist on the full 25% agreed initially. The case has been on hold since 2017 and appears to be unresolved for some more time.
According to the 25% cost-sharing agreement, the builder was to pay Rs 16.91 crore of the overall cost of the bridge. The builder, on the other hand, refused to pay the earlier and later promised Rs 7 crore.
In 2017, the Siddhi group launched Godrej Garden City and Savvy Swaraj residential schemes in Jagatpur.
Despite the fact that the builder’s intention to not contribute to the flyover was clear, the AMC went ahead and issued proposals for the project.
According to AMC, the project was approved because the state government would contribute 50% of the cost. Officials stated AMC and Siddhi Group would split the remaining 50%. Mukesh Patel afterwards changed his mind and submitted letters to the AMC stating that he would be unable to donate his fair share.
On May 28, 2021, DyMC met with Mukesh Patel and Siddhi Group Manager Darshan Patel for roads and bridges, DyMC for urban development, city engineer (roads and bridges), and bridge project authorities, after that the realtors stated that their firm was under a significant financial crunch due to the pandemic.