Bombay HC Upholds Section 354 Notice Against Unsafe 53-Year-Old Industrial Estate, Orders Petitioners To Vacate Within 3 Weeks

The petitioners, owners, members or occupiers of units in Vijay Industrial Estate, challenged a notice dated 3 September 2026 issued under Section 354 of the Mumbai Municipal Corporation Act, 1888 (“MMC Act”), concerning the building’s C-1 classification.

The building was constructed in 1973.

A structural audit dated 21 January 2026 classified it as unsafe and recommended evacuation and demolition.

The petitioners disputed the audit and argued that MCGM had not independently inspected the building or referred conflicting reports to the Technical Advisory Committee (“TAC”).

The Court Commissioner appointed at the petitioners’ insistence reported exposed structural elements and a dilapidated, hazardous condition.

The Court also noted that the petitioners had signed a society letter dated 25 April 2026 acknowledging serious structural deterioration and danger to life and property.

1. Whether the Section 354 notice and C-1 classification were liable to be set aside for want of an independent MCGM assessment or reference to the TAC.

2. Whether the structural audit, the petitioners’ prior written acknowledgment and the Court Commissioner’s report justified upholding the notice and requiring the petitioners to vacate.

Section 353B of the MMC Act requires the owner or occupier of a building that has crossed the statutory 30-year threshold to obtain and submit a Structural Stability Certificate; it also empowers the Commissioner to require an examination and corrective repairs.

Under Section 354, where a structure appears ruinous, likely to fall or dangerous to persons occupying or passing by it, the Commissioner may require it to be pulled down, secured or repaired.

The Court held that, on these facts, the petitioners had not established a legal requirement for TAC referral in the absence of a contradictory audit report.

It also relied on the public-safety principle stated in *Municipal Corporation v. Eknath Mane* that building-safety decisions affect residents and the wider community, not merely the individual parties.

The Court found that the structural audit classified the building as C-1 and recommended immediate evacuation and demolition.

The Court Commissioner’s independent observations corroborated the audit, including the building’s exposed structural elements and hazardous condition.

The petitioners produced no sufficient basis to disregard either report, and the Court found no demonstrated legal requirement to refer the matter to the TAC where no contradictory audit had been received.

The petitioners’ signed letter acknowledging the building’s serious deterioration further supported MCGM’s position and, in the Court’s view, estopped the petitioners from taking a contrary position.

Given the safety risks, the Court found no ground to interfere with the Commissioner’s satisfaction or the notice.

It directed the petitioners to vacate the premises within three weeks of the judgment’s uploading.

The pending interim application was disposed of as no longer surviving.