A sea-facing apartment in the upscale Mumbai locality of Juhu, which carries a historical link to the late, infamous stockbroker Harshad Mehta, is once again heading for auction. This move by a special court highlights the continued, decades-long process of recovering assets related to the monumental 1992 securities. The property, located in one of Mumbai’s most desirable neighborhoods, represents more than just a real estate transaction; it’s a tangible piece of a financial history that shook the nation.
Property and auction details
The apartment is situated on the second floor of the Vandana Cooperative Housing Society, nestled within the Janki Kutir compound—a landmark best known for the iconic Prithvi Theatre. The flat boasts a super built-up area of 1,150 square feet and, crucially, offers a coveted view of the Arabian Sea.
The special court overseeing the case for offences related to transactions in securities recently authorized the sale. The property is being offered on an “as is, where is” basis, which essentially means the buyer accepts it in its current physical and legal condition, without any guarantees from the seller. This type of sale often appeals to investors or those willing to handle potential complexities for a chance at a prime piece of real estate. Local experts estimate that an unencumbered flat in this society could command prices in the range of ₹45,000 to ₹50,000 per square foot.
The historical link to Harshad Mehta
It is important to clarify that the flat was not directly owned by Harshad Mehta himself, its connection stems from the owner, the late Sushila Shah, who was a partner in a firm called Romil Exports. Shah was identified as a “judgment debtor” to Orion Travels, a company in which both Harshad Mehta and his brother Ashwin Mehta were partners. In simple terms, a judgment debtor is a person or firm ordered by the court to pay a sum of money to another party. The apartment is thus being sold to realize the funds owed as part of the recovery process.
This Juhu Flat Auction is not the first attempt to sell this particular asset. Similar efforts to find a buyer failed in 2021, 2023 and even earlier in the current year. The repeated failure to find a suitable bidder suggests potential issues related to the properties lien status, its history or perhaps the court-mandated reserve price.
The Legacy of the big bull
The story of the auction is inextricably linked to Harshad Mehta, famously known as the “Big Bull” of Dalal Street. Mehta was the architect of the ₹700-crore securities that exposed massive loopholes in India’s banking and stock market systems in the early 1990s. He manipulated the market by using forged bank receipts and fake cheques to illegally siphon huge sums from banks. He then channelled this money into the stock market, artificially inflating the prices of certain stocks, which ultimately led to a devastating crash that wiped out the life savings of countless small investors.
Mehta faced 27 criminal charges and was convicted in four cases before his death from a heart attack in 2001 while in judicial custody. Authorities have been systematically auctioning off his various assets to compensate the affected parties. Notable previous sales include eight apartments in a Worli Sea Face building, which were collectively sold in 2009 for over ₹32 crore.
The ongoing process, highlighted by the recurring Juhu Flat Auction, serves as a powerful reminder of the financial malfeasance of the past and the slow, diligent work of the legal system to address and recover losses for the public.
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Disclaimer – This article is based on available public reports and is for informational purposes only. It does not constitute legal, financial or auction advice.
Source – Hindustan Times
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