The Lavasa Corporation Limited was “completely shocked after receiving the Environment Ministry's show cause notice on November 26,” a company spokesman told The Hindu on Sunday.

The Ministry issued a show cause notice to Lavasa, alleging violations of Section (5) of the Environmental Protection Act, 1986, as per the provisions of the Environmental Impact Assessment Notification 1994, as amended in 2004 and 2006.

He claimed that LCL was in talks with the Ministry since 2004, and hence, the notice was unexpected. “What does this mean? What took them six years to ask for the explanation at this stage, when the first phase is complete and the residential units are being handed out?,” he stated.

He also said: “The banks who have invested money in this project have obviously verified our documents.”