Mumbai Police Register Case Against Real Estate Developer for ₹100 Crore Housing Fraud

Mumbai: The Mumbai Police have taken action against a real estate developer and others for allegedly defrauding homebuyers of ₹100 crore by promising flats in Mumbai's Wadala area and diverting the funds for personal use. According to officials, the Economic Offences Wing (EOW) registered the case on Wednesday after a preliminary enquiry based on a complaint filed by 62-year-old Chartered Accountant Anil Dron, a resident of Kandivali in Mumbai.

The accused, including real estate developer Subbaraman Anand Vilaynur, his wife Uma Subbaraman, and B P Gangar Constructions, collected ₹100 crore from 102 individuals in the name of the 'Sky 31' housing project in Wadala (West) since 2018, promising each a flat. However, after collecting the money, the accused allegedly conspired to divert the funds to their personal and other bank accounts instead of using them for the housing project.

Furthermore, the accused sold one flat to two different individuals after taking money from both, effectively cheating them. The EOW registered the case against the accused on charges of cheating and criminal breach of trust, and an investigation is currently underway.

The case highlights the ongoing issues in the real estate sector, where developers sometimes engage in fraudulent activities, leaving homebuyers in a lurch. The EOW's intervention is crucial to ensure that such malpractices are curtailed and justice is served to the affected individuals.

For homebuyers, this case serves as a stark reminder to exercise due diligence and verify the credibility of developers and projects before making any financial commitments. It is advisable to conduct thorough research, seek legal advice, and ensure that all necessary documents and agreements are in order to avoid falling victim to such scams.