Pune, 17 July 2025: The Pune Municipal Corporation (PMC) has issued a notice to the Konkan Mitra Mandal Medical Trust seeking clarification over a land lease agreement that may have been violated. The trust had received a 1,976 sq. m. plot at Deccan Corner on a 99-year lease, but the land has now reportedly come under the ownership of the Manipal Hospitals Group through a transfer from Sahyadri Hospital.
According to PMC, this transfer may breach the original lease agreement, which prohibits the trust from subletting, leasing, mortgaging, or transferring the property to any other entity or individual without prior permission from the municipal commissioner.
PMC’s Deputy Commissioner of Property Management, Vasundhara Barve, has directed the trust to submit within seven days a copy of the agreement made with Sahyadri Hospital and any subsequent deal with the Manipal Group.
The civic body has also asked for documentation showing whether the property has been pledged with any financial institution and if any requisite permissions and premium payments were made to the municipal treasury.
The land in question was leased to the trust at a nominal annual rent of ₹1, while a one-time premium of ₹53.35 crore was collected. In September 2006, the trust reportedly entered into a partnership with Sahyadri Hospital to operate a medical facility on the site.
In recent years, the Sahyadri group, which runs 11 hospitals across Pune and other cities under the trust’s banner, was acquired by Manipal Hospitals for an estimated ₹6,400 crore. One of these hospitals is located on the Deccan plot.
While the lease permits the trust to partner with competent entities for hospital operations, the property cannot be gifted, donated, or used as collateral without PMC’s explicit approval, as per the lease conditions.
The civic body is now reviewing whether the Sahyadri-to-Manipal transaction adhered to these terms.
