Pillai added that the NTC will now review whether there is a need to restructure their reserve price, keeping in mind the 30% decrease in the real estate market rates.

Bidders, on the other hand, said the NTC never mentioned its reserve price in the tender document. A representative of Tata Realty said, “About Rs 150 crore that we have given as the Earnest Money Deposit (EMD) was not the reason (for the low bids). Had we known the reserve price, we would either have not bid at all or bid slightly higher. In today’s market, how can they expect this amount?” .

Ramesh Chandra, the officer-in-charge of NTC in Mumbai said, “As a policy, we never disclose our reserve price. As for the earnest money, we have already offered to return it immediately if the parties wanted it back.”

The NTC was planning to use the money from the sale of the land for revival of its sick units in Mumbai. NTC officials, however, ruled out any distress sale, saying NTC had enough reserve funds. Officials added that once Finlay Mill land is sold, they would invite tenders for selling the 13 acre Kohinoor Mills 1 & 2 at Dadar.