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Bhubaneswar civic body halts construction at Nandan Vihar housing project following resident complaints and alleged regulatory violations

#Law & Policy#Infrastructure#India#Odisha#Bhubaneswar
Last Updated : 26th Mar, 2026
Synopsis

The Bhubaneswar Municipal Corporation has issued a stop-construction order against a housing project in Nandan Vihar after residents flagged multiple violations, including unauthorised expansion and non-compliance with regulatory approvals. The action follows complaints by the residents welfare association regarding ongoing construction despite rejection of the project's expansion by the Odisha Real Estate Regulatory Authority earlier this year. Allegations include lack of mandatory permissions, failure to complete committed infrastructure, and breach of approved building norms. The civic authority has directed the developer to halt all work pending further examination, while deploying inspectors to ensure compliance. The case highlights increasing scrutiny of residential developments in Bhubaneswar amid rising disputes over adherence to planning and regulatory frameworks.

The Bhubaneswar Municipal Corporation (BMC) has directed a developer to stop construction activities at a residential project in Nandan Vihar, Bhubaneswar, in the past week, following complaints from residents alleging violations of approved plans and regulatory norms. The order was issued after a preliminary inspection found that construction work related to an expansion block was underway despite irregularities and pending compliance issues.


The action was triggered by representations from the residents welfare association, which raised concerns over unauthorised expansion, non-adherence to norms under the Odisha Real Estate Regulatory Authority, and failure to fulfil commitments related to infrastructure and services. Officials indicated that the developer had proceeded with excavation and structural work even after the expansion proposal was rejected earlier this year due to non-compliance with prescribed requirements.

According to civic authorities, the developer had not secured all mandatory permissions before commencing additional construction. Residents also alleged that the builder initiated work without obtaining the consent of at least two-thirds of existing allottees, a requirement under applicable regulations for project alterations. The complaints further highlighted lapses such as non-submission of statutory documentation, including Form D, and failure to address pending obligations within the existing project.

Infrastructure-related deficiencies formed a significant part of the grievances. The association reported that essential works, including rainwater drainage systems, structural repairs, and the handover of an electrical substation to the local power utility, remained incomplete. Concerns were also raised about non-refund of certain financial deposits and the absence of adequate visitor parking, which was part of the original approval granted in 2017.

A senior BMC official stated that the stop-work directive had been issued based on prima facie evidence of violations and that continuous monitoring would be carried out to ensure adherence. Inspectors have been deployed at the site to prevent further construction activity until the matter is examined in detail and compliance is verified.

Residents indicated that the decision to escalate the issue followed documented evidence of ongoing work at the site, including the use of excavation machinery and construction equipment despite regulatory restrictions. They also sought intervention from the state's housing and urban development department, urging authorities to initiate proceedings under relevant provisions of the Odisha Apartment (Ownership and Management) Act, 2023.

The development reflects a broader trend of increased enforcement by urban local bodies in Odisha, where regulatory authorities have been responding to resident-led complaints concerning deviations from approved plans and project commitments. The outcome of the ongoing scrutiny is expected to determine whether the project can resume construction or face further regulatory action, including penalties or legal proceedings.

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