Pune: Buyers Scammed of Over Rs 5.37 Crore in Fake Real Estate Project in Baner
A major real estate scam in Baner, Pune, has left buyers duped of over Rs 5.37 crore. Three individuals, including a woman, have been booked for fraud and criminal breach of trust.
Real EstateFraudBanerPmrdaPcmcReal Estate NewsMay 22, 2025
The complaint was filed by Nikhil Dnyaneshwar Phalak (32), a resident of Hinjawadi, at the Hinjawadi Police Station. According to the FIR, three individuals, including a woman, have been booked for fraud and criminal breach of trust.
Police investigations reveal that the accused had approvals from the Pune Metropolitan Region Development Authority (PMRDA) for a four-storey structure and from the Pimpri-Chinchwad Municipal Corporation (PCMC) for a separate project up to five storeys. However, they falsely claimed to have permissions for a ten-storey development and sold units on various floors, including the second, fifth, ninth, and tenth, to unsuspecting buyers.
Phalak and several other customers paid a total of INR 5,37,55,759 for apartments and commercial spaces. The accused issued payment receipts and allotment letters, and verbally promised possession by May 2020. However, no construction was ever initiated, and the funds were neither returned nor were any registered sale agreements executed. Instead, the money was allegedly misappropriated for personal gain, according to the complaint.
The case is currently under investigation by Sub-Inspector Kande of the Hinjawadi Police. The authorities are working to trace the misappropriated funds and bring the perpetrators to justice. Buyers are advised to exercise caution and verify all construction approvals and legal documents before making any payments.
Background on PMRDA and PCMC:
The Pune Metropolitan Region Development Authority (PMRDA) is a statutory body responsible for planning and development in the Pune Metropolitan Region. It ensures that all construction projects adhere to the approved plans and regulations. Similarly, the Pimpri-Chinchwad Municipal Corporation (PCMC) is the governing body for the Pimpri-Chinchwad area, responsible for urban planning, development, and ensuring compliance with building norms.
This scam highlights the importance of due diligence in real estate transactions and the need for buyers to verify all documents and approvals before making any financial commitments.
Frequently Asked Questions
What is the total amount of money scammed from the buyers?
The total amount of money scammed from the buyers is INR 5,37,55,759.
Who filed the complaint against the accused?
Nikhil Dnyaneshwar Phalak (32), a resident of Hinjawadi, filed the complaint at the Hinjawadi Police Station.
What approvals did the accused actually have?
The accused had approvals from PMRDA for a four-storey structure and from PCMC for a separate project up to five storeys.
What floors did the accused falsely claim to have permissions for?
The accused falsely claimed to have permissions for a ten-storey development and sold units on the second, fifth, ninth, and tenth floors.
Who is investigating the case?
The case is currently under investigation by Sub-Inspector Kande of the Hinjawadi Police.
Related News Articles
Indian Cities Witness 4% Drop in Affordable Housing Sales
Sales of affordable homes in major Indian cities, including Delhi-NCR, Mumbai, and Pune, saw a decline of 4% in the first quarter of 2024.
Simplifying Real Estate: Birla Estates' 'Real Advice' Campaign with Vicky Kaushal
Birla Estates launches 'Real Advice' campaign featuring Vicky Kaushal to educate Indian consumers on real estate concepts.
India's Housing Market Sees Significant Improvement with Record Low Inventory Overhang
The Mumbai Metropolitan Region and Pune, two of the most prominent real estate markets in Maharashtra, have witnessed a substantial decrease in housing inventory overhang.
NAREDCO Maharashtra NextGen Launches Excelerate 3.0: Innovation in Construction
The National Real Estate Development Council (NAREDCO) Maharashtra NextGen is thrilled to announce the third edition of its flagship annual event, Excelerate 3.0, set to take place on November 14, 2024. This year’s theme, ‘Innovation in Construction,’ foc
MahaRERA Recovers Rs 200.23 Crore for Homebuyers, Intensifies Compliance Efforts
Mumbai, 2nd December 2024: The Maharashtra Real Estate Regulatory Authority (MahaRERA) has successfully recovered ₹200.23 crore as compensation for aggrieved homebuyers, marking a significant milestone in the authority's efforts to ensure fair practices a
Why ₹2 Crore Properties are Most Preferred in Mumbai's Real Estate Market?
This price range is highly attractive for both first-time buyers and those looking to upgrade, making it the most sought-after segment in Mumbai, the costliest residential market in India.