Goa HC issues notices over alleged FAR fee waiver, PIL claims massive loss to exchequer


Daijiworld Media Network - Panaji

Panaji, Apr 7: The Bombay High Court at Goa on Monday issued notices to the state government and key officials over alleged non-levy of statutory fees for granting additional Floor Area Ratio (FAR) and height relaxations, following a public interest litigation (PIL).

The court also sought responses from the Town and Country Planning (TCP) Secretary, former Chief Town Planner Rajesh Naik, incumbent Chief Town Planner Vertika Dagur, and the Directorate of Vigilance.

The PIL, filed by Swapnesh Sherlekar and Rupesh Shinkre, alleges a “deliberate and unlawful waiver” of fees, resulting in significant gains for private developers at the cost of the public exchequer.

At the centre of the controversy is the August 9, 2023 amendment to the Goa Land Development and Building Construction Regulations, 2010, which enabled case-by-case grant of additional FAR and height relaxations. The petitioners argue that while a 2015 notification mandating a fee of Rs 20,000 per square metre remains in force, the amended regulation omitted any provision for fee collection.

“This omission was neither inadvertent nor procedural — it was a conscious design to benefit the building lobby,” the plea states.

According to the petition, between August 2023 and September 2024, multiple proposals were cleared by the TCP Department granting what it terms “unlimited additional FAR” without levying fees, leading to windfall profits for select private entities.

The plea further claims that despite the Finance Department flagging the issue in September 2024 and directing recovery of dues, approvals without fee collection continued until February 2025.

The matter gained further traction following the suspension of Rajesh Naik on April 30, 2025, over alleged irregularities. However, the petition contends that the practice persisted even thereafter.

An audit by the Accountant General reportedly found that 321 proposals had been approved under the amended regulation without fee recovery.

The estimated loss to the state exchequer is pegged at Rs 107.36 crore as per Finance Department calculations, but could rise to Rs 2,147.12 crore based on the TCP Department’s own fee structure, the petition claims.

The PIL has also challenged a July 2025 executive order that fixed a reduced premium of Rs 1,000 per square metre for additional FAR in most categories, while retaining higher rates for select uses such as hotels and educational institutions.

Calling the move “arbitrary” and lacking statutory backing, the petitioners have sought quashing of the order, recovery of dues, and directions to halt further approvals without proper legal framework.

The court is expected to hear the matter further after responses from the concerned authorities are filed.

 

 

  

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Title: Goa HC issues notices over alleged FAR fee waiver, PIL claims massive loss to exchequer



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