Pune Investors in DSK’s project suffer on credit score

Buyers allege the housing project in Pirangut is dead after the arrest of DSK, and now their CIBIL score has also hit a negative rating

Flat buyers who invested in Pune builder DSK’s projects are facing a double whammy. On one hand, their investment in DSK’s housing projects has not been fruitful as the projects are incomplete after real estate developer was arrested in 2018, the flat buyers say their CIBIL score has hit negative. The CIBIL score maintained by the Credit Information Bureau of India Limited is often looked at closely by bankers while lending money.

D S Kulkarni, founder, chairman of DSK group, along with his wife and son have cheated atleast 35,000 people of Rs 1,129 crore in a deposit scheme, according to the Enforcement Directorate (ED) (Pratham Gokhale/HT Photo)

The investors now plan protest against the financial institutions.

Sanjay Ashrit, a chartered accountant from Pune, who was one of the buyers claims that there are at least 200 people who bought the houses through the scheme using services of finance companies. He realised the alleged fraud in 2015, when he decided to read the fine print of the documents he was signing while purchasing a flat in the project.

“We demand a case against three finance organisations for disbursing loans on a defunct project,” said Sanjay Ashrit, a chartered accountant from Pune, who was one of the buyers.

The buyers, who are affected investors, were attracted to the project through a scheme which promised the possession of the house before beginning the process of payment -“Adhi Ghar, Paise Nantar”.

“I have already met K Venkatesham, police commissioner in this regard on February 6, 2019, and one senior police inspector Mohan Jadhav of the Economic Offence Wing (EOW) has taken down the complaint,” he said, adding that the FIR is yet to be registered against one of these finance companies. “How long should one wait for the FIR,” he added.

After realising the lack of clarity, Ashrit did not allow the finance company to disburse any money to DSK from his loan. “However, they have registered mortgage against my property,” he said.

Another house buyer, Abhijeet Jadhav, 37, an IT professional who works in a company located in Phase-3 of Hinjewadi IT park, said, “I have tried to acquire a home loan from 7-8 organisations, but the moment they see my CIBIL score, my application is rejected. I and my brother were going to buy that flat together. So now we live in a rented house in Warje with our families.”