Mumbai's Mumbadevi Robotic Parking Tower Contractor Seeks Rs 55 Crore Damages from BMC
Mumbai Parking Tower Contractor Demands Rs 55 Crore from BMC

In a significant development concerning Mumbai's infrastructure, the contractor for the Mumbadevi robotic parking tower project has escalated the dispute by issuing a legal notice to the Brihanmumbai Municipal Corporation (BMC). The notice invokes the arbitration clause in the contract and demands Rs 55 crore in damages, citing an unreasonable stoppage of work without any stated reason. This move comes more than one-and-a-half years after Maharashtra Assembly Speaker Rahul Narwekar ordered a stay on the Rs 122 crore project, effectively halting construction since July 2024.

Background of the Stalled Project

The Mumbadevi robotic parking tower, a partly constructed 17-storey structure designed to accommodate 600 vehicles, has been at the center of controversy since its inception. The project, awarded to contractor M/s SMS Limited, aimed to alleviate parking woes in the bustling area near the iconic Mumbadevi temple. However, work came to a standstill after Narwekar issued a stay order in the legislative assembly, raising concerns about the project's impact on the temple's aesthetics and heritage.

Contractor's Legal Action and BMC's Response

Through its lawyer Sandesh Deshpande, SMS Limited has formally notified the BMC of its intention to seek arbitration, arguing that the stoppage was unjustified and has led to significant financial losses. In response, BMC officials have acknowledged that the corporation may have to bear the brunt of the damages, potentially paying from its own coffers. A senior BMC official stated, "We already wrote to the state government stating that there are no irregularities in the project and warning that the BMC should not be held responsible for rising costs. However, we did not receive any instruction from the state government so far."

Political and Local Opposition

Rahul Narwekar has been a vocal opponent of the parking tower, citing feedback from locals who fear it would harm the temple's view and heritage. He emphasized issues of faith, devotion, and feasibility, arguing that the project could obstruct the temple's sacred ambiance. Narwekar further suggested that if damages are to be paid, they should be recovered from the then Municipal Commissioner who sanctioned the project without consulting local residents. "If any damages are paid, then they should be paid by the then Municipal Commissioner, who sanctioned the project without taking locals into confidence. Money should be recovered from concerned officials," he asserted.

State Government's Role and Escalating Costs

In January 2025, the state Urban Development (UD) department intervened, asking Narwekar to decide on the matter after Municipal Commissioner Bhushan Gagrani warned of cost escalation if delays persisted. Despite this, BMC officials report no further instructions have been received, leaving the project in limbo. The delay has not only sparked legal action but also raised concerns about rising costs and missed deadlines.

Support from Trade Associations

Amid the controversy, local trade associations have voiced strong support for resuming the parking tower. Groups such as the Mumbai Wholesale Gold Jewellers Association, the All India Gem and Jewellery Domestic Council, and the India Bullion and Jewellers Association have demanded that work start soon, highlighting the need for improved parking infrastructure to support business activities in the area.

The situation underscores the complex interplay between urban development, heritage conservation, and legal accountability in Mumbai. As the arbitration process unfolds, stakeholders await a resolution that balances infrastructure needs with cultural sensitivities.