noida property news

Flat sale to multiple buyers will invite Gangsters Act: DM

NOIDA: The district administration has said developers who sell a flat to two or more buyers simultaneously, or take loans against the property without the buyer’s knowledge, will be booked under the Gangsters Act.
B N Singh, district magistrate, said he had received complaints from some homebuyers about such fraudulent activities. “We have directed police to book such people under the Uttar Pradesh Gangsters and Anti-Social Activities ( Prevention) Act, 1986. We will also initiate proceedings to attach their properties,” Singh told TOI.

In January, a homebuyer had filed a complaint against a developer in Sector 58 police station for allegedly duping him of Rs 88 lakh on the pretext of offering a flat in a residential society in Greater Noida. The complainant, Surendra Singh, alleged that he had booked a flat in Sector Zeta I in Greater Noida in March 2009. He had held a meeting with the company directors and paid Rs 18 lakh on March 30, 2009. He then took a Rs 70 lakh loan from IDBI Bank and transferred the money to the developer, who had promised no EMI till possession. The developer had promised to pay the EMI till possession.

In May 2017, Singh received information from the bank that the EMI had not been paid for seven months. He rushed to see his booked flat and found some other person living there. On enquiry, the occupant said the flat was allotted to him in April 2015.

In March 2017, police had arrested two directors of AVJ Heights builders for selling one flat to multiple buyers. A case of cheating and fraudulent activity was registered in Surajpur police in this regard.

Abhishek Kumar, president, NEFOWA, said: “A number of developers are involved in profile funding against under-construction projects. The developers get payment from buyers against certain flat. They then allot the same flat to some known persons, and get loans from bank on low interest. Sometimes, the developer transfers the entire fund to another project, and this delays in the home delivery,” Kumar said.The district officials are trying to figure out the total number of such complaints. The DM has also directed the officials to conduct an inspection of all the under-construction sites to ensure that the developers have followed the bylaws of Noida Authority.

The DM has directed the police to make a list of the FIRs already registered against the developers and update about the investigation. “The police have been told to file the chargesheet in the cases if the investigation has been completed. We will ensure that all the developers deliver homes in a time-bound manner,” said the DM.

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