Pune, India – May 26, 2025 – In a significant development for the real estate sector, the Pimpri Chinchwad police have registered a case against three directors of a prominent construction company, alleging they cheated homebuyers out of a staggering Rs 5.37 crore across two separate projects. The extensive probe centers on a housing development in Hinjewadi and a commercial venture in Rahatani, where buyers claim they were duped by false promises regarding construction permissions.
The complaint, lodged on Tuesday by a resident of Hinjewadi on behalf of other aggrieved buyers, reveals a systematic deception. According to the complainant, the realty firm secured payments by assuring prospective buyers that they had permission to construct up to 10 floors in both projects. However, investigations by the Pune Metropolitan Region Development Authority (PMRDA) and the Pimpri Chinchwad Municipal Corporation (PCMC) have since revealed a stark reality: the company only had approval for up to the fourth floor in the Hinjewadi housing project and up to the fifth floor at the Rahatani commercial site.
“The company had promised to hand over the flats by May 2020 but failed to deliver on the promise,” stated an officer from the economic offences wing of the Pimpri Chinchwad police. After a frustrating five-year pursuit for their properties or refunds, the buyers collectively decided to approach law enforcement.
The police have invoked serious charges against the directors, including sections 406 (criminal breach of trust), 409 (criminal breach of trust by merchant), and 420 (cheating) of the Indian Penal Code, alongside relevant sections of the Maharashtra Flat Ownership Act.
The officer further elaborated on the modus operandi, explaining that the complainant had booked a flat in the Hinjewadi project in 2020, making regular payments and receiving receipts. Similar transactions occurred for the Rahatani commercial project. “The complainant later found that the PMRDA gave permission to the company to build only up to the fourth floor in the Hinjewadi housing society site and the PCMC gave permission to build up to the fifth floor in Rahatani’s commercial project site,” the officer added.
Adding to the buyers’ woes, the company not only failed to complete construction but also neglected to register the agreements with the customers, leaving them in a precarious legal position.
“When the complainant did not get the flat’s possession or his money back after waiting for at least three years, he approached us,” the officer confirmed. So far, four customers have come forward, collectively reporting losses amounting to Rs 5.37 crore. “Our investigations are on,” the officer concluded, indicating that more details and potential arrests may follow as the probe continues.
