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The Bombay High Court directed a Malad-based developer to withdraw an anticipatory bail plea filed at the High Court while the matter was still pending in the Dindoshi Sessions Court. The bench emphasised that legal relief must first be sought in the court where the case is being heard. The developer complied with the order. The case originates from an investor complaint alleging that the developer collected INR 5.15 crore under a redevelopment MoU but failed to complete key obligations such as eviction, title creation, and coordination with stakeholders.
A division bench of the Bombay High Court recently instructed a developer involved in a Malad redevelopment project to withdraw an anticipatory bail application filed at the High Court, while the same plea was still pending before the Dindoshi Sessions Court. The bench clarified that legal procedures must be strictly followed and that any relief should first be sought from the court handling the case. The developer promptly withdrew the High Court application following the directive.
The matter concerns Mansukh Shah and his son, who face an FIR registered by the Economic Offences Wing after an investor alleged financial and contractual irregularities. According to the complaint, the investor paid a total of INR 5.15 crore under a memorandum of understanding and supplemental agreements related to a 5,600-square-metre plot for a redevelopment project. The agreements outlined the developer's obligations regarding title creation, eviction of occupants, and coordination with stakeholders.
The investor claimed that the developer did not execute these critical redevelopment activities and allegedly misrepresented ownership, as the development rights reportedly belonged to a charitable trust. The complaint further alleges that the developer entered into parallel agreements with other developers, demanded additional funds from the investor, and issued termination notices when these demands were not met. These issues prompted the FIR and subsequent legal proceedings.
During proceedings at the High Court, the investor's legal team argued that granting anticipatory bail at this stage would bypass the proper judicial process and could set an incorrect precedent. The High Court agreed and asked the developer to withdraw the application and pursue relief at the Sessions Court level. The developer complied, and the case now continues at the Dindoshi Sessions Court for further hearing.
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