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Mumbai builder arrested for cheating six flat buyers of ₹2.34 crore

Patel and his three partners had undertaken the redevelopment work of a four-storey building Malad in 2013.

mumbai Updated: Apr 13, 2018 23:57 IST
Vijay Kumar Yadav
Vijay Kumar Yadav
Hindustan Times
mumbai,crime,cheating
The police are currently going through Patel’s bank account. (Representational photo)

The Economic Offences Wing (EOW) officials on Thursday arrested a developer for allegedly duping six people of Rs2.34 crore after he promised them flats in a redeveloped building in Malad (West).

The arrested accused, Hifzur Rehman Patel, 54, has been charged with sections 409 (criminal breach of trust by public servant, or by banker, merchant or agent), 420 (cheating and dishonestly inducing delivery of property) and 34 (acts done by several persons in furtherance of common intention) of the Indian Penal Code (IPC) and relevant sections of Maharashtra Ownership Flats Act (MOFA).

According to the EOW, Patel and his three partners had undertaken the redevelopment work of a four-storey building at Hava-Hira Co-operative Housing Society at SV Road, Malad in 2013.

It was mutually decided by the developer and the society members that the developer will build two 11-storey buildings, comprising of 61 flats, on the land. Of these, 27 flats were to be allotted to existing society members while the developers could retain the remaining 34 flats to sell them.

Anant Pawaskar, the chairman of the society, is the uncle of the complainant, Prasad Pawaskar. The complainant had agreed to buy one of the flats at a cost of Rs54 lakh and had paid almost 75% of the amount to the developer. Later, he was also given the registered sale agreement of the flat.

However, in 2014, the construction work suddenly came to a halt. It was found that the developer had not completed the mandatory procedure to construct above the seventh floor.

“He did not get a commencement certificate from BMC and to continue work, the developer required additional TDR (Transfer of Development Rights). The developer claimed he could not buy TDR due to lack of funds, but promised to solve the issue soon,” said an EOW official.

Despite the promise, the developer failed to resume the construction work. The complainant then made inquiries and found out that five more flat buyers had faced the same situation. They then filed a complaint with the police, claiming that Patel Developers had duped six flat buyers of Rs2.34crore.

The police are currently going through Patel’s bank account. Further probe has revealed that the number of victims may go up to 23. Cops are in the process of ascertaining the role of other partners of Patel Developers.

First Published: Apr 13, 2018 23:57 IST