Punjab govt starts civil, criminal proceedings against GBP Group

Nearly ₹1,500 crore, invested by over 2,500 people from Punjab, Haryana, Himachal Pradesh, Jammu and Kashmir, and several NRIs, are hanging in balance, with no surety from the builder on when the projects will be completed

The Punjab local bodies department has initiated civil and criminal proceedings against the management of Gupta Builders and Promoters (GBP) Group, who have left the country without completing various real estate projects.

On September 28, through an open letter via social media, one of GBP group’s directors, Satish Gupta, had assured the investors that they were abroad to seek investments. (HT Photo)

Nearly ₹1,500 crore, invested by over 2,500 people from Punjab, Haryana, Himachal Pradesh, Jammu and Kashmir, and several NRIs, are hanging in balance, with no surety from the builder on when the projects will be completed.

Local bodies minister Brahm Mohindra said, “We have written to the respective civic bodies in Mohali district, seeking details of GBP Group’s approved colonies for civil and criminal proceedings. Investors should get justice.”

On September 28, through an open letter via social media, one of group’s directors, Satish Gupta, had assured the investors that they were abroad to seek investments and had attributed the delay in completing the projects to the pandemic.

A week before this, on September 21, global conglomerate SRAM & MRAM Group had pulled out its ₹700-crore investment committed to the group due to non-fulfilment of criteria.

On Thursday, ECL Finance Limited put up a notice board at the group’s Athens project on Airport Road, stating that the property is mortgaged to it and the loan account of the property owner is in default.

The income tax department also pasted a notice outside the group’s office in Sector 34, Chandigarh.

Besides Athens, which comprises residential and commercial properties, the group is also building Aeroze, a residential project on Airport Road, but construction of both projects has not progressed for years.

Among other projects are Camelia, offering both residential and commercial units, in Kharar, and GBP Centrum (commercial) in Zirakpur. Both have been under construction since 2016, while work has not even begun at a residential colony in New Chandigarh.

Lookout circular issued for three directors

On Friday, Mohali police issued lookout circulars (LOC) against three directors of the group.

“An FIR is already registered against the three directors – Satish Gupta, Raman Gupta and Pardeep Gupta. Since they have fled the country, we have also issued lookout circulars that will reach airports on Saturday. Superintendent of police (Rural) Ravjot Grewal is investigating complaints against the firm,” said Mohali senior superintendent of police (SSP) Satinder Singh.