Bulldozers came down Tuesday on a part of Filmalaya - one of India's historic film studios - as part of a demolition drive, shocking residents and the movie industry alike.

According to the Brihanmumbai Municipal Corporation (BMC), part of the structure was illegal.

"Even we feel bad about demolishing such a historic place, but rules are the same for everyone," said one BMC officer in charge of demolition activities in the suburbs of Mumbai.

"Mumbai has too many problems and part of that is illegal buildings that are not only in poor areas but even in posh areas and nothing was done about it all these years."

The demolition continued even as the launch of the film "Sauda" was taking place in another part of the studio, surprising the actors on the premises.

"It's really sad that they are doing this to a historic studio like Filmalaya. It has been here for ages and I have never heard of such demolitions," said actor Aryan Vaid.

"I wish they had sorted the issues first with the owners rather than just breaking down the place."

Almost every major name in Bollywood has shot at the studio at one time or another. The studio is owned by the illustrious Mukherjee family - mainly Ram Mukherjee (actress Rani Mukherjee's father), Romu Mukherjee (actress Sharbani Mukherjee's father) and Shomu Mukherjee (Kajol's father).

With bulldozers and a huge police team, the demolition squad razed one building that was constructed illegally and one shooting hall.

Till Sunday, 67,500 unauthorised structures - hutments and commercial and residential properties - had been pulled down.

The ongoing demolition drive against unauthorised structures in Mumbai has reportedly cost the cash-strapped BMC about Rs.600 million.

Another demolition squad was sent Tuesday morning to Bandra near Shoppers' Stop to take action against illegal shops and eating joints.