The Supreme Court on Tuesday allowed the Central Bureau of Investigation (CBI) to register 22 cases in connection with the nexus between banks and real estate companies for cheating home buyers at NCR.
A bench of Justice Suryakant and Justice N. Kotishwar Singh allowed the CBI to convert six preliminary investigation against various builders and banks into 22 regular cases similar to an FIR. NCR builder and development authority of Uttar Pradesh and Haryana are included in the scope of investigation.
Under the Financial Assistance Scheme, banks deposit money directly to the builders’ accounts, which have to be paid EMI (monthly installment) on the sanctioned loan amount until the flat home is handed over to the buyers. When the builders did not start paying installments to the banks, according to the trilateral agreement, banks asked home buyers to deposit EMIs.
Keeping in mind the severity of the case, the bench appreciated the efforts of the Central Agency to investigate more than 1,000 persons and take the matter into their hands by visiting 58 projects and asked them to complete the investigation and conclude the matter to its conclusion.
What did the apex court say in the investigation case
The apex court said that the CBI lodged Seventh Preliminary Investigation, which relates to the projects of several builders except Supertech Limited and is still in Mumbai, Bangalore, Kolkata, Mohali and Allahabad outside the NCR region.
The court is hearing petitions filed by more than 1,200 home buyers, who booked flats under subsidy schemes in various housing projects in NCR sector, especially Noida, Greater Noida and Gurugram. They allege that despite the non -possession of the flats, they are being pressurized by banks to pay EMI.
Court had allowed CBI to investigate
The apex court on March 29, allowed the CBI to register five initial investigations in the cases of builders and projects in the NCR region, ie Noida, Greater Noida, Gurugram, Yamuna Expressway and Ghaziabad. It had allowed a preliminary inquiry against the reality sector’s leading company Supetech Limited, against which 799 home buyers moved the apex court through 84 appeals related to projects in eight different cities.
The CBI submitted a report to the apex court in a sealed envelope, the court has seen it. In report It was suggested that after preliminary investigation into cases to find out a cognizable offense by builders and financial institutions, 22 regular cases are required to be registered for further investigation.