Gurugram: DTCP lodges FIR against developer over 3 stalled low-cost projects
According to the FIR, a case was registered under Sections 10 and 12 of the Haryana Development and Regulation of Urban Areas Act, 1975.
The department of town and country planning (DTCP) on Sunday got a first information report (FIR) registered against promoter of Ocean Seven Buildtech Pvt Ltd (OSB) for failing to complete its three affordable housing projects, and committing irregularities regarding funds raised from buyers of these projects, officials said.
The district town planner (enforcement) Amit Madholia submitted the complaint to Haryana Enforcement Bureau, police station in Gurugram and also asked police to issue a look out notice for promoter Swaraj Singh, apprehending that the developer may could try to abscond and evade criminal proceedings in view of the serious financial irregularities.
Director (town and country planning department) Amit Khatri on Saturday had recommended to lodge the FIR following several complaints from home buyers, and the developers’ failure to comply with its directions, said DTCP officials.
According to the FIR, a case was registered under Sections 10 and 12 of the Haryana Development and Regulation of Urban Areas Act, 1975.
Notably, Section 10 deals with penalties for violating the Act, while Section 12 is for the application and manner of obtaining exemption from certain provisions by a colonizer. A person found guilty can be punished with imprisonment up to three years and a fine under Section 10.
Three licenses were issued to OSB Developer under the affordable housing scheme to develop OSB Golf Heights in Sector 109 in 2016, OSB Golf Heights in 2018 and The Venetian Society in Sector 70 in 2019, said DTCP officials.
{{/usCountry}}Three licenses were issued to OSB Developer under the affordable housing scheme to develop OSB Golf Heights in Sector 109 in 2016, OSB Golf Heights in 2018 and The Venetian Society in Sector 70 in 2019, said DTCP officials.
{{/usCountry}}Under the scheme, this builder had to deliver these residential societies within four years and hand over the possession of the flats to the buyers. But none of these projects have been completed and the licenses of these projects stand suspended since February 2023, while money has been taken from buyers, they added.
{{/usCountry}}Under the scheme, this builder had to deliver these residential societies within four years and hand over the possession of the flats to the buyers. But none of these projects have been completed and the licenses of these projects stand suspended since February 2023, while money has been taken from buyers, they added.
{{/usCountry}}Madholia in his complaint to the Haryana enforcement bureau, stated that numerous complaints have been received from allottees regarding cancellation of units during the suspension period, diversion of funds, delay in completion of projects and non-refund of deposits.
{{/usCountry}}Madholia in his complaint to the Haryana enforcement bureau, stated that numerous complaints have been received from allottees regarding cancellation of units during the suspension period, diversion of funds, delay in completion of projects and non-refund of deposits.
{{/usCountry}}Listing the irregularities, the department said that these housing projects remained stalled since 2019 with negligible construction progress. It further said that nearly 95% of buyer payments collected against only 62.5% construction completed in one of the projects, while the developer indulged in submission of false progress reports and non-cooperation with the forensic audits ordered by DTCP and Haryana Real Estate Regulatory Authority (HRERA).
The developer has defaulted on payment of outstanding dues amounting to approximately ₹21 crores against the aforementioned licenses, it added.
“In view of the above serious violations and financial irregularities, there is a grave apprehension that Sh. Swaraj Singh, Owner/Director of M/s Ocean Seven Buildtech Pvt. Ltd. (505-506, Tower-D4, Spaze-1, Techpark, Sohna Road, Gurugram) may attempt to abscond and evade criminal proceedings and financial liabilities. Accordingly, this office has been directed by the Director, Town & Country Planning, Haryana, Chandigarh to lodge the FIR against the said offender/builder,” stated Madholia in the complaint.
Asked about the matter, Madholia said an FIR was recommended against OSB Developer for multiple irregularities. “The three projects launched by OSB are incomplete and the buyers have lodged several complaints with the department. There has been no work going in the projects and buyers who have invested hard earned money are suffering,” he said.
Arun Yadav, legal head, OSB Developers said that they had not received any notice or letter regarding the criminal complaint. “We have been cooperating with the department and a meeting is scheduled in Chandigarh on Monday to resolve the issues. We don’t have any information regarding this development,” he said.
To be sure, the Haryana State Enforcement Bureau (HSEB) of the police department investigates and takes criminal action against illegal activities such as illegal mining, encroachments on government land, illegal construction, violations of the Motor Vehicles Act, and the illicit liquor trade, and electricity theft.
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