During a 40-minute discussion, Jain, while replying to Janata Dal leader Vyankappa Patki and others, defended the scheme saying that the State Government has sought a loan to the tune of Rs 300 crore each from the Maharashtra Housing Area Development Authority (MHADA) and Mumbai Municipal Corporation Regional Development Trust (MMRDT) which would be repaid after three years with interest.

Leader of Opposition Bhujbal alleged that the Government was liable to pay Rs 72 crore each year as interest on the sum which was denied by Jain.He also alleged in the House that the concerned Department Secretary along with Revenue Secretary and Finance Secretary had opposed the scheme. Bhujbal showed two copies of dissent notes by bureaucrats, which came beforethe Cabinet when the scheme was discussed. He later presented the same to Chairman Prof N S Pharande for his perusal.

The Sena-BJP Government had drawn up the project to provide free houses to slum dwellers in Mumbai.

Replying to a supplementary, Jain informed the house that 17 applications for bidding were received for the project.

Arun Mehta said the ruling alliance had promised in its election manifesto to provide free houses to over 10 lakh hutment dwellers and at the fag end of their regime, the Government was introducing a scheme of merely 50,000 houses.

Bhujbal wanted to know how many houses under the Slum Redevelopment Scheme (SRD) and Slum Redevelopment Authority (SRA) schemes of previous regime were completed and keys handed over to the prospective owners.

Jain informed the House that 3000 houses were constructed under both the schemes which were integrated schemes, while Bhujbal contended that not a single house in the SRA scheme was ready.

The Minister said 17 bidders were in the frayfor the shivshahi project and scrutiny would be done by the financial rating companies of the bidders. The action plan was ready and the project was going ahead smoothly, Jain added.