In Mumbai, 128 Flats Under Scanner As BMC Cracks Down On Luxury Tower’s Illegal Extensions

The BMC demolished luxury flat extensions. On Monday, the civic body razed unapproved structures and additions inside eight B-wing apartments at Prabhadevi's Rustomjee Crown, Hindustan Times reported. The action followed complaints that residents turned common areas into private living spaces.

The luxury project comprises Towers A and B in phase one and Tower C in phase two, featuring three-, four- and five-bedroom apartments. Civic officials stated that the BMC had previously issued notices to 128 flats in the development regarding alleged encroachments and alterations.

Deputy Municipal Commissioner Prashant Sapkale confirmed the development. Sapkale said the demolition drive would continue over the next four days, targeting flats where unauthorised alterations had been found.

Complaints and Financial Scale

Activist Santosh Daundkar flagged the violations. On November 17, 2025, he wrote to the Deputy Municipal Commissioner (Zone-II), the Chief Engineer (Development Plan) and the Chief Fire Officer about alterations in the building. Flat owners in Tower A blocked off common spaces measuring 450 to 500 sqft, Daundkar said. At an estimated market rate of Rs 50,000 per sqft, this grabbed space is worth Rs 2.5 crore per apartment, totaling Rs 250 crore for the building.

Daundkar also said that the G-South ward's designated officer had issued more than 100 notices to errant property owners in July 2025 under section 53(1) of the Maharashtra Regional and Town Planning (MRTP) Act, yet the encroachments were not removed.

The certificate timing raised questions. Daundkar asked the building proposal department to explain why Tower B received a part Occupation Certificate in September 2024 despite existing violations in Tower A. He said wealthy, politically connected residents might have influenced enforcement, noting reports that the Securities and Exchange Board of India (SEBI) leased a flat for a senior functionary at Rs 7 lakh a month.

Flat 5201 faced immediate action. The BMC served a stop-work notice to the occupant of the 52nd-floor apartment in Tower A. Issued under section 354A of the Mumbai Municipal Corporation (MMC) Act, the order demanded the resident halt construction instantly and present approvals within 24 hours.

The BMC stated that the resident combined the kitchen, living room and bedroom by tearing down a shared wall. The occupant also absorbed the public lobby using wooden dividers and demolished a bathroom. The notice warned that the civic body would remove the illegal structures at the owner's expense if they failed to comply.

Legal Notices and Enforcement

In a subsequent speaking order dated March 25, 2026, the BMC stated that notices had been issued to 128 flats under section 354A of the MMC Act and section 53(1) of the MRTP Act.

On August 19, 2026, a notice under section 488 was served to the owners, occupants, society office-bearers and developer of Rustomjee Crown, directing them to remain present during an inspection of the premises on August 24.

More enforcement is planned. The BMC informed that future steps will follow legal procedures and align with the November 13, 2024 Supreme Court ruling on illegal structures. Civic officials stated that the public can track notices, inspection logs, action reports and current case statuses on the BMC encroachment-removal website.

Industry Response and Criticism

Activist-advocate YP Singh supported the civic action. However, the move raised deeper issues, Singh said. Investigators must examine how officials approved the building plans and if those designs permitted common area encroachments, Singh added. He also demanded scrutiny of environmental compliance, specifically rules on gardens, required open spaces and tree planting.

Sources in the real estate industry said property owners in Rustomjee Crown had restricted access to common areas and were charged separately for it.

"Several apartment owners have bought 150-450 sqft outside their main door as Rustomjee had allowed glass or wooden door partitions and registered agreements mentioned there would be no permanent structure. The fine print was also approved by the attorneys appointed by many flat buyers," a real estate industry functionary said, requesting not to be identified.