Mumbai EOW Cracks Down: Radius Sumer Developers Arrested for ₹35.7 Crore Housing Fraud

The Economic Offences Wing (EOW) of the Mumbai Police has arrested prominent real estate developers Ramesh Shah and his son Rahul for allegedly defrauding investors in a South Mumbai housing project, Harbour Heights, to the tune of ₹35.7 crore.

Real Estate FraudEowMumbai PoliceRadius Sumer DevelopersHarbour HeightsReal EstateMay 17, 2025

Mumbai EOW Cracks Down: Radius Sumer Developers Arrested for ₹35.7 Crore Housing Fraud

Real Estate:The Economic Offences Wing (EOW) of the Mumbai Police has taken significant action against a prominent real estate developer, Ramesh Shah (65), and his son Rahul (40), for their alleged involvement in a major fraud case. The duo is accused of cheating investors in a failed housing project in South Mumbai, known as Harbour Heights in Mazgaon. The case was registered last November against Radius Sumer Developers Pvt. Ltd., along with other real estate developers, including Sanjay Chhabria (51). The EOW alleged that the developers defrauded two brothers, Mahesh Mirani (67) and his Hong Kong-based brother Purushottam Mirani, of ₹35.71 crore. The project was promoted as a lucrative investment opportunity for NRIs looking to invest in Indian real estate. Ramesh Shah and Rahul Shah were arrested for luring 78 flat buyers to invest in the Harbour Heights project in Mazgaon. The project promised 18,181 square feet of carpet area at a rate of ₹28,875 per square foot, leading to a total investment of ₹52.50 crore from the Mirani brothers. However, the project failed to materialize, and the investors were cheated out of ₹35.7 crore. The father-son duo was apprehended from their luxurious apartment in Gamdevi and produced before the special MPID court, where they were remanded to police custody. The case was filed based on a complaint from Mahesh Mirani, a resident of Bandra West. According to the complaint, the accused persuaded Mahesh Mirani and his brother Purushottam to invest in the Harbour Heights project in Mazgaon. The Mirani brothers, through their Metro Investment Partnership firm, invested ₹21.94 crore in advance. However, no construction work was undertaken within the agreed-upon two years. In April 2019, a cancellation agreement was signed, under which the accused agreed to return ₹35.71 crore and issued cheques that bounced due to insufficient funds. Apart from the Mirani brothers, 77 other individuals who had booked flats in the failed housing project, which was supposed to consist of three towers of 25 stories each, were also duped. The Mirani brothers alleged that despite repeated assurances and documented agreements, Radius Sumer Developers neither progressed with the construction nor returned the invested funds. This arrest is a significant step in the ongoing efforts to combat real estate fraud and protect investors in Mumbai. The EOW is continuing its investigation to ensure that all those involved in the fraud are held accountable and that justice is served for the victims.

Frequently Asked Questions

What is the Harbour Heights project? A: Harbour Heights is a housing project in Mazgaon, South Mumbai, that was promoted as a lucrative investment opportunity for NRIs and local investors. Q: Who are the developers involved in the fraud? A: The developers involved in the fraud are Ramesh Shah, Rahul Shah, and Sanjay Chhabria, all associated with Radius Sumer Developers Pvt. Ltd. Q: How much money was defrauded from the investors? A: The developers are accused of defrauding investors of ₹35.71 crore in the Harbour Heights project. Q: What actions were taken by the EOW? A: The EOW arrested Ramesh Shah and Rahul Shah, remanded them to police custody, and is continuing its investigation to ensure accountability. Q: Who filed the complaint against the developers? A: The complaint was filed by Mahesh Mirani, a resident of Bandra West, and his Hong Kong-based brother Purushottam Mirani, who were among the victims of the fraud.

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