Mumbai Police's EOW Charges Real Estate Firm and Directors for Defrauding Investors of Rs 31 Crore
Mumbai: The Economic Offences Wing (EOW) of the Mumbai Police has filed a case against a real estate company and its two directors for allegedly defrauding investors of Rs 31.2 crore. The accused, Ranbir Real Estate Developers LLP and its directors, Jaykumar Gupta and Suyash Gupta, are charged under the Indian Penal Code (IPC) for cheating and criminal breach of trust.
The alleged crime took place between March 2021 and May 2023. The company promised investors a high quarterly interest rate of 18% per annum in return for investments in their ongoing project at Jogeshwari. However, the accused failed to return the principal amount to the investors, leading to a loss of Rs 31.26 crore.
Mahesh Doshi, a 71-year-old investor from Andheri, lodged the FIR at the Andheri police station. The case was subsequently transferred to the EOW for further investigation. Doshi, along with 18 other investors, had invested in the project, believing the promises of high returns.
The company initially paid the promised interest to the investors until February 2024. However, they ceased payments thereafter, leaving the investors in the lurch. According to the EOW, the project is nearing completion, with around 90% to 95% of the work already done. The developers have plans to hand over possession in the next couple of months.
The investors, who were primarily interested in the interest payments and not in purchasing flats, approached the police when they realized they would not get their money back. An EOW officer stated, 'We have registered a case and a thorough investigation is underway to ensure justice for the affected investors.'
This case highlights the risks associated with high-yield investment schemes and the importance of due diligence before making financial commitments. Investors are advised to verify the credibility of real estate projects and the track record of developers to avoid falling prey to such fraudulent schemes.
