Ex-VVCMC Chief Fixed Bribe Rate for Builders at ₹150 per Sqft: ED Probe Reveals
The Enforcement Directorate's investigation into illegal constructions in Vasai East has uncovered that former VVCMC commissioner Anil Pawar set a fixed bribe rate for builders at ₹150 per square foot. Four arrests have been made in the case.
CorruptionIllegal ConstructionVasaivirarBribeEd ProbeReal Estate MumbaiAug 16, 2025
The charge or commission was levied for turning a blind eye to illegal construction on both government and private land. According to an ED officer familiar with the probe, who spoke on condition of anonymity, “Pawar, along with a cartel, facilitated large-scale illegal construction in Vasai-Virar by setting this fixed rate.”
On Wednesday, the ED arrested Anil Pawar, former deputy director in the VVCMC town planning department YS Reddy, former corporator Sitaram Gupta, and co-accused Arun Gupta. All four were remanded to the ED’s custody until August 20. The investigation has also revealed that Sitaram Gupta and Arun Gupta played crucial roles in the illegal sale of the 60-acre plot on which the 41 illegal buildings stood.
“Sitaram Gupta and Arun Gupta used forged agreements and power of attorney documents to sell the plot to local builders,” the ED officer explained. “These builders, in collusion with certain civic officials, constructed the 41 buildings between 2013 and 2021.”
The 60-acre plot included 30 acres of private land and another 30 acres reserved for a sewage treatment plant and dumping ground. The buildings, which were demolished in February this year following court orders, left nearly 2,500 families homeless.
To date, the ED has seized cash worth ₹10.27 crore and jewellery and bullion worth ₹23.25 crore in connection with the case. Additionally, bank deposits, shares, mutual funds, and fixed deposits worth ₹13.86 crore have been frozen.
The revelations from the ED’s probe highlight the deep-seated corruption within the municipal corporation and the construction industry, raising serious concerns about the enforcement of building regulations and the protection of public interests in the region.
Frequently Asked Questions
What is the fixed bribe rate for builders as per the ED's probe?
The fixed bribe rate for builders, as per the ED's probe, was ₹150 per square foot.
Who was arrested in the corruption case?
Anil Pawar, former VVCMC commissioner; YS Reddy, former deputy director in the VVCMC town planning department; Sitaram Gupta, former corporator; and Arun Gupta, co-accused, were arrested.
How many illegal buildings were constructed on the 60-acre plot?
Forty-one illegal buildings were constructed on the 60-acre plot.
What was the role of Sitaram Gupta and Arun Gupta in the illegal construction?
Sitaram Gupta and Arun Gupta used forged agreements and power of attorney documents to illegally sell the 60-acre plot to local builders, who then constructed the illegal buildings.
How much money and assets have been seized by the ED?
The ED has seized cash worth ₹10.27 crore, jewellery and bullion worth ₹23.25 crore, and frozen bank deposits, shares, mutual funds, and fixed deposits worth ₹13.86 crore.
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