A group of leading builders in Mumbai is planning to meet senior officials of the Brihanmumbai Municipal Corporation (BMC) to demand a reduction in the high bribes allegedly being extorted by officials in the building proposals department.
According to industry sources, around 25 top developers recently discussed the issue, calling the current “rates” unsustainable.
The problem, sources said, began after the new development control rules were introduced two years ago. These rules leave little room for manipulation or illegality in building plans.
However, engineers have been deliberately delaying approvals to pressure builders into paying bribes.
Developers argue that such delays cost them heavily since project loans often carry interest rates of up to 24 percent.
Figures shared by builders indicate that bribe amounts vary depending on the type of approval.
For concessions and fungible FSI, the alleged rate is ₹950 per sq. mt., while commencement certificates are said to cost around ₹1,300 per sq. mt.
Other charges reportedly include ₹2,700 per sq. mt. for TDR, ₹900 per sq. mt. for fire brigade NOC, and lump-sum payments ranging from ₹2 lakh to ₹2.5 lakh per clearance.
Despite repeated complaints, civic officials have failed to address the issue, leaving builders frustrated and seeking relief.
On the other hand, these hefty bribes are resulting in bloating prices of properties. A shocking, bitter and worst truth!
The shocking part is that this phenomenon is not limited to Mumbai but is also prevalent in other major cities with active real estate markets, as per several realtors. Yet, Mumbai’s situation is the most open and arguably the worst of all.
