India, Sept. 14 -- A co-operative housing society in Dahisar, Mumbai, embarked on redevelopment in 2013 after selecting a developer who promised homeowners 40% additional space over their existing flats. The developer assured delivery within three years and agreed to pay rent for temporary accommodation during construction.

However, just a year into the project, the developer stopped paying rent, leaving residents to bear the cost themselves and unsure about the project's future. "The developer gave us no proper information for the next two years, and we were left to pay rent on our own, even though our building had already been demolished," a society member told HT.com on condition of anonymity.

By 2016, the developer cited financial t...