There is still some uncertainty if the nearly two-decade dream of shifting the diamond market from south Mumbai’s Panchratna to a new trading hub with single-window facilities to central Mumbai’s Bandra-Kurla Complex will take off this year or not.
A Bharat Diamond Bourse was planned as a new-age complex with all modern amenities and infrastructure. Around 30 banks were planned to be housed in the complex, along with a dedicated customs house facility, around 24,500 safe deposit vaults and security measures at par with global markets.
With an initial estimate of Rs 600 crore, the project was started in 1992. But disputes between the BDB committee, its architects and contractors, and payment defaults by members during the 1995-99 property slump, put the project on hold in 1998. It was restarted in 2001.
According to informed sources, the 2,427 members of the Bourse fought among themselves over various details even after allotment was done. Therefore, many members did not release payment for cost differences, antagonising committee members. Anoop Mehta, president of the Bourse, however, says a majority of members have since cleared their dues, along with interest for the payment holdover period.
“We have already received the Occupation Certification (OC) and also applied for the Draft Lease Deed from MMRDA (Mumbai Metropolitan Regional Development Authority), which we are expecting to receive within a couple of weeks.
Thus, we are ready for commencing operations by April 1,” said Satishchandra Shah, vice president of the bourse.
However, a proposal is also pending with MMRDA to amend the original lease agreement to be able to house local companies, too.
The earlier plan was to only house export-oriented units. This amendment is pending with MMRDA, as the latter requires approval from a number of ministries for any changes.
Still, 14 lakh sq ft of area out of the 18 lakh sq ft planned has already been allotted. Some area has been kept for common utilities, which is non-saleable and will house the trading floor, customs area, conference halls and other facilities required for the bourse. Members have already been allotted share certificates according to their allocated area, a minimum of 300 sq ft to as high as 15,000 sq ft.
According to Shah, “Whatever members wanted, we gave. Still, controversy erupted, which was expected, given such a vast gathering of one business class”. But, he added, “the bottom line is that the project is ready”.
