Mumbai's Economic Offences Wing (EOW) has initiated legal action against a real estate firm and its two directors following serious allegations of a large-scale investment fraud. The case involves a staggering sum of Rs 31.26 crore collected from multiple investors under the guise of high-interest returns.
The Core of the Allegation
According to the First Information Report (FIR), Ranbir Real Estate Developers LLP, along with its directors Jaykumar Gupta and Suyash Gupta, are accused of luring investors with an attractive proposition. They allegedly promised an 18% quarterly interest per annum to those who invested in a redevelopment project located in Jogeshwari, Mumbai.
The police state that the accused managed to collect the massive sum from the complainant and 18 other investors. The alleged fraudulent activity spanned a period from March 2021 to May 2023. The complaint was formally lodged by 71-year-old Mahesh Doshi at the Andheri police station, after which it was transferred to the specialized EOW for investigation.
Promises Made and Broken
The investors, as clarified by the police, were not prospective flat buyers but individuals who put in their money solely for the promised high interest. Initially, the accused maintained the appearance of legitimacy by paying out interest to the investors. However, these payments reportedly stopped after February 2024, raising red flags and prompting the investors to approach the authorities.
An officer from the Economic Offences Wing provided context, stating, "The project they were constructing is at the verge of completion. Around 90% to 95% work has been completed and the developers plan to hand over the possession in the next couple of months. The investors who did not get their money back approached the police. We have registered a case and a probe is on."
Legal Charges and Ongoing Probe
The directors of the real estate company now face serious charges under the Indian Penal Code (IPC). They have been booked for cheating and criminal breach of trust. The central claim of the FIR is that despite accepting crores of rupees, the accused failed to return the principal amount to the investors, thereby allegedly cheating them.
The EOW's investigation is now active, focusing on unraveling the complete details of the financial transactions and the whereabouts of the invested funds. This case highlights the risks associated with high-return investment schemes, especially in the real estate sector.
