RIL wants refund of BKC money

Mukesh Ambani’s Reliance Industries Ltd (RIL) is learnt to have asked the Mumbai Metropolitan Region Development Authority (MMRDA) for a refund of the Rs696-crore it paid for the additional 72,500 square metre built-up area it was granted in March, 2007 in Bandra Kurla Complex nin Mumbai. In January 2006, RIL paid Rs1,104-crore to buy a 7.5 hectare plot in the financial capital’s midtown business hub. The purpose was to construct a world-class convention hall and an exhibition-cum-commercial centre.

The floor space index had been controversially increased from two to four at the time by MMRDA, a move which was challenged by the Anil Ambani-led Reliance Communications & Infrastructure Ltd (RCIL) in the Bombay high court. A stay had been granted on the petition challenging the MMRDA’s decision to grant additional space to RIL.

RIL was unable to start construction as the Bombay high court had restrained it from utilising the commercial component of the additional space. Of the 72,500 sq m of additional space, 31,500 sq m was permitted for use as a commercial complex and the balance 41,000 sq m for the convention and exhibition centre. Sources say RIL has also asked for permission to start construction on the balance area.