Mohta’s Company in Trouble as Calcutta High Court Orders Demolition of 26-Storey Tower
Kolkata, Sept 2:
In a landmark ruling, the Calcutta High Court has ordered the demolition of a newly built 26-storey tower at the Elita Garden Vista housing complex in New Town, exposing serious irregularities in real estate approvals. The order comes as a major setback for Elita Garden Vista Pvt Ltd, promoted by real estate tycoon Sushil Mohta and associate Prakash Bachhawat.
The Bench of Justices Rajasekhar Mantha and Ajay Kumar Gupta held that the tower, which houses 233 flats, 269 parking slots, and a commercial plaza, was constructed on the basis of fraudulent permissions obtained through “corruption, undue influence, and muscle power.”
Illegal Sanction Exposed
Originally, the New Town Kolkata Development Authority (NKDA) had sanctioned plans in 2007 for 15 towers comprising 1,278 flats and 1,688 parking spaces. However, a revised plan in 2015 added a 16th tower, reducing the share of land and common areas of existing homeowners and cutting open space by 600 square metres.
Buyers of the additional tower were not consulted and only discovered the change in 2017. Complaints to NKDA went unheard, forcing the matter into court.
Court Directives
The court declared the revised sanction plan illegal and void, and ordered:
Demolition of the 26-storey tower within two months.
Residents to vacate and remove belongings within one month.
If the promoter fails, NKDA must carry out demolition at the company’s expense.
Refund to all affected buyers with 7% annual interest.
Criminal and departmental proceedings against both the promoter and officials involved.
Justice Mantha, in his detailed 94-page judgment, stressed that illegal construction cannot be legitimized simply because of time elapsed or financial stakes. He also invoked provisions of the NKDA Act, West Bengal Apartment Ownership Act, and Promoters Act, emphasizing the need for homeowners’ consent in all future expansions.
Wider Impact
The ruling is expected to send shockwaves across Bengal’s real estate sector. Experts say it marks the end of the “build now, legalize later” approach that has long plagued urban development. Developers will now face stricter scrutiny and be compelled to seek explicit approval from homeowners before altering projects.
For residents of Elita Garden Vista, the judgment brings hope of reclaiming their rightful share of land, open space, and security—though at the cost of displacing dozens of families who had already invested in the disputed tower
