The rent agreement of Delhi’s now-collapsed Hostel Daze has come under scrutiny after the five-storey building in Satya Niketan collapsed, killing seven residents.
According to the agreement, students were required to pay three months’ security along with one month’s advance rent. It also stated that the security deposit would not be refunded before the completion of the agreement period and that any damage to furniture or fixtures could be deducted from the deposit.
One clause in the agreement stated that the PG authorities were not responsible for casualties or risks to a student.
A separate terms-and-conditions document linked to the hostel also stated that the management would not be liable for compensation in cases involving personal injury, loss or damage to a tenant’s belongings caused by circumstances described as beyond the PG’s control, including sealing, fire, earthquakes and heavy rains.
Strict conditions for students
The agreement also laid down several conditions for tenants. Students were prohibited from putting posters or stickers on hostel walls.
It further stated that students leaving before the agreed period, including those removed for disciplinary reasons, would not receive a refund of hostel fees or security money.
The hostel management was also given the right to shift students to another room or hostel location when circumstances required it. The terms allowed immediate eviction for disciplinary issues without a refund.
Building was unauthorised, report says
The collapsed structure was a five-storey building in Satya Niketan that housed a boys’ hostel. According to a senior MCD official cited in the report, the nearly 50-year-old building stood on around 55 square yards of land in a resettlement colony where permission had been granted only for a two-storey structure.
No building plan had reportedly been approved for the structure.
The building had earlier been in a dilapidated condition. Its owner, Hari Ram Bansal, subsequently spent several months renovating it, and tenants began moving in during August 2026.
The hostel had around 30 rooms, with each room intended to accommodate two to three students. However, construction work was reportedly still underway when the building collapsed.
Labourers were working in the basement at the time of the incident. Of the 11 people rescued, two were labourers, one of whom later died.
Three arrested in Delhi hostel collapse case
Three people have been arrested in connection with the case — Hariram Bansal, his wife Urmila and their son Mahesh Bansal.
Records cited in the report show that electricity connections for the property were registered in the names of Hariram Bansal and Mahesh Bansal, while the property itself was registered in Urmila’s name.
The report also noted that the building was residential and was not intended for commercial use such as operating a paying-guest hostel.
Delhi civic body suspends five officials
The Municipal Corporation of Delhi suspended five officials a day after the tragedy.
Those suspended were Deputy Commissioner (South Zone) Rakesh Kumar, Superintending Engineer Ranvir Singh, Executive Engineer (Building) Lalit Kumar Goel, Assistant Engineer (Building) Sunil Chauhan and Junior Engineer (Building) Ashish Kumar.
Separately, the Delhi High Court ordered a high-level investigation into the collapse and observed that hostel facilities for students coming from outside Delhi were in a “pathetic condition.”
MCD order concerned neighbouring property
On September 6, the MCD had issued an order concerning the neighbouring property, number 13 in Satya Niketan, directing its owner or occupier to demolish the structure because it posed a threat to residents, visitors, passers-by and neighbouring buildings.
The collapsed building, however, was property number 14, according to an MCD statement.