However, on a plea made by the Adarsh Housing Society, a division bench stayed its order for 12 weeks to enable it to file an appeal in the Supreme Court, despite opposition by the Maharashtra government.
The demolition should be carried out at the expense of petitioners (Adarsh Society), ruled the court.
The court also asked the Centre and Maharashtra Government to consider initiating civil and criminal proceedings against bureaucrats, ministers and politicians, if not already done, for various offences in acquiring the plot on which Adarsh Society stands and also for misuse and abuse of powers.
The order was delivered in an open court by a bench of Justices R V More and R G Ketkar on a bunch of petitions filed by Adarsh Society challenging the demolition order of the Union Ministry of Environment and Forests and a title suit filed by the Defence Ministry claiming that it owned the land on which the 31-storey society building was constructed.
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"The disciplinary authority shall take decision in accordance with law without being influenced by the findings of the high court," said the bench.
The bench placed on record its appreciation for the complainant Simpreet Singh, a member of National Alliance of People's Movement. "But for this intervention, perhaps the gross violation by the petitioners (Adarsh Society) would have been detected," said the Judges.
The Adarsh housing scam kicked up a political storm in
2010 forcing the then chief minister Ashok Chavan of the Congress to resign after coming under its cloud.
Acting Advocate General of Maharashtra, Rohit Dev, on behalf of the state government, told the court that he was opposing the stay sought by the petitioner (Adarsh Society) to file an appeal in the Supreme Court.
Adarsh Society had filed a petition in 2011 in the Bombay High Court challenging the demolition order issued by the Union Ministry of Environment and Forests.
The Defence Ministry also filed a petition in the high court seeking implementation of its demolition order, besides filing a title suit in the high court claiming that it was the owner of the plot on which the plush Adarsh Society building stands in South Mumbai.
Adarsh society has been embroiled in a controversy for flouting several environment norms and regulations and for allegedly not taking the requisite permissions.
The building remains unoccupied and without electricity and water supply.
The bench of justices R V More and R G Ketkar had in September 2015 started final hearing of petitions including one filed by the Adarsh society challenging demolition order passed by Union Ministry of Environment and Forest and a petition filed by the Ministry of Defence seeking implementation of the demolition order.
In December 2015, the High Court bench had reserved order after hearing all the parties. The judgement was delivered today.