The Mumbai Port Authority (MbPA) has launched an aggressive drive to recover nearly ₹3,500 crore in outstanding land lease rentals from eight major lessees and tenants, including The Indian Hotels Company Ltd (IHCL), as it seeks to strengthen its finances for key port-led infrastructure projects.
According to sources, IHCL, a Tata Group company, accounts for the largest share of the outstanding dues, with unpaid lease rentals estimated at around ₹1,800 crore.
Other major defaulters include Crescent Dyes & Chemicals Ltd, Shri Omprakash Tulsiram Aggarwal & Six Others (joint tenants), The Timber Market Occupants’ Society, Provident Investment Co. Ltd, Indian Vegetable Products Ltd, Scindia Steam Navigation Co. Ltd, and Subh Hospitality Ltd.
To expedite recovery, the port authority has engaged leading senior advocates and top-tier law firms to pursue legal action against the defaulting entities. It has also decided to initiate criminal proceedings against unauthorised occupants as part of its enforcement strategy.
Officials said the recovery of lease arrears is critical for funding the redevelopment of Mumbai’s Eastern Waterfront under the Major Port Authorities Act, 2021. The master plan envisages the development of a maritime economic hub featuring the proposed Mumbai Marina, international cruise terminals, water transport infrastructure, shipbuilding facilities, and other port-centric developments.
According to the port authority, prolonged non-payment of lease rentals has constrained its revenue stream and affected the implementation of major infrastructure projects.
Officials also alleged that several lessees have committed operational violations, including unauthorised construction, illegal subletting, unauthorised transfer of leased properties, and changes in land use without approval. In several cases, eviction orders have been obtained, but the occupants have challenged them before higher courts, delaying the recovery process.
The Mumbai Port Authority said it remains committed to protecting public assets while accelerating maritime infrastructure development under the Maritime Amrit Kaal Vision 2047 and Maritime India Vision, and has urged all defaulting tenants to clear their outstanding dues without further delay. Source: ET Infra
