The division bench of Justices N H Patil and V L Achliya was hearing a public interest litigation filed by Ravi Talreja alleging corruption in the sanctioning of 110 building proposals in 2010.
"It is difficult to believe that unauthorised construction can be carried out without civic officials having its knowledge," the court said.
The bench was irked to note that several plots reserved for playgrounds, recreation grounds and schools had been encroached upon. "The playgrounds and open spaces are lungs of the cities, you cannot allow those to be choked," judges said.
But the petitioner alleged that though a departmental enquiry was initiated against all the errant officials, no further action was taken.
The court today asked the Ulhasnagar commissioner to look into the issue and ensure that the enquiry is completed at the earliest.