A division bench headed by Justice Abhay Oka said the authorities had not reserved enough plots for night shelters.
The Government Pleader informed that a total of 81 plots had been reserved for night shelters in the proposed development plan (DP) for the entire city. In the island city alone, five plots had been reserved, he said.
However, advocate Gayatri Singh, appearing for Homeless Collective, an NGO, alleged that in the last two years no decision had been taken by the state government or the municipal corporation on the issue, notwithstanding a Supreme Court order.
The matter has been adjourned to July 15.
During an earlier hearing, the High Court had observed that despite several orders of the court, there was no compliance and the government's attitude was insensitive.
The petitioner demands at least one night shelter for every one lakh population, as per the National Urban Livelihood Mission. Mumbai needs at least 227 shelters but has only nine, it says.