Mumbai: Ahuja Builders Booked For Cheating 590 Homebuyers In Redevelopment Project In Sion

Mumbai: The Chunabhatti police have booked six persons, including Jagdish Ahuja and Gautam Ahuja of Ahuja Constructions, for allegedly cheating 590 homebuyers with the lure of flats in the redevelopment project at O2 building, LBS Road. While 280 original owner families are waiting for their rents, the other 310 buyers claim to have paid 75% to 100% of the cost without getting possession. Moreover, the price of the flats was also doubled when another investor was brought in.

The FIR was filed on Saturday by a homebuyer, Ramprasad Gupta, a lawyer by profession. The flats initially cost ₹75-80 lakh but the price was changed to ₹1.75 crore to ₹2 crore after the developers introduced Fosun Hive, a China-based company, as an investor/developer, said Gupta in his statement to the police. Gupta claims to have paid ₹1.55 crore plus ₹11 lakh as registration and stamp duty.

Possession was promised by June 2022 but Fosun Hive (aka Carbon Hive Zero Constructions Pvt Ltd) allegedly stopped work in February this year. The developers, according to the complaint, continued to sell flats till June 30.

Homebuyers allege wrongful loss

When new buyers and tenants demanded their houses from the developers, they were told that work would resume after new developers or contractors are brought in. The buyers have alleged wrongful loss, accusing developers of having earned wrongful gains. 

Senior police inspector Anil Desai said that the case will be handed over to the Economics Offence Wing (EOW) as it involves a huge amount. “It’s a technical case and a lot of paperwork and verification will be involved. All parties involved will soon be issued summons under section 41A of Code of Criminal Procedure (seeking cooperation with the investigation),” he said.

Besides the Ahuja builders, the other booked persons include Ahuja Group manager Chandrahas Yellapa Kotian, CEO of Ahuja Group Sanjay Shrivastava, and Fosun Hive chairperson Peng Peng Sia.