HC quashes CIDCO charges for pre-1990 societies
- Newsband
- 09 Oct, 2026
Navi Mumbai: The Bombay High Court has delivered significant relief to pre-1990 cooperative housing societies in Navi Mumbai, ruling that subsequent regulatory amendments cannot ordinarily impose financial liabilities not specified in the original lease deeds retrospectively.
A division bench comprising Justice Bharati Dangre and Justice Manjusha Deshpande delivered the judgment on September 29, 2026, quashing transfer charge demands and related notices issued by the City and Industrial Development Corporation (CIDCO) against Man Mandir and Surya Cooperative Housing Societies.
The case began when CIDCO, through a letter dated October 26, 2016, demanded Rs. 24,58,100 from Man Mandir Cooperative Housing Society for transferring 27 flats. The society challenged the demand, arguing that its original lease deed contained no provision requiring members to obtain prior permission or pay transfer charges when transferring flats or shares.
The Navi Mumbai Cooperative Housing Federation Limited, along with the two societies, subsequently approached the High Court through a writ petition.
Senior advocate Gayatri Singh, representing the petitioners, argued that CIDCO could not impose fresh financial obligations on societies whose lease deeds predated February 8, 1990, when amendments introducing transfer charge provisions were incorporated into the New Bombay Land Disposal Regulations, 1975.
The court upheld the principle that subsequent amendments cannot ordinarily create retrospective financial liabilities without an express provision permitting retrospective application.
Welcoming the decision, federation president Sunil Chaudhary said, “The judgment could provide a new direction to the long-standing dispute over CIDCO's transfer charges. The ruling offers hope to other older housing societies facing similar demands. However, its applicability will depend on the specific terms of individual lease deeds and the court's directions.”


