Form special team to probe Unnati Group's fund diversion, UP-RERA to state govt

Photo: City Spidey
Posted: May 31, 2019

The Uttar Pradesh Real Estate Regulatory Authority (UP-RERA) has recommended the state government to form a special investigation team (SIT) to probe Unnati developers for allegedly siphoning off around Rs 147 crore accepted as funds from the home buyers. Sources informed that the decision has come following an hour-long meeting of RERA officials with the Noida authority officials.

According to a Times of India report, UP-RERA member, Balwinder Kumar said, “We have asked the state government to intervene and institute an SIT to track how and where Unnati Group misused these funds. The amount was generated by allotting over 100 flats each to two or three buyers.”

As reported earlier, the Greater Noida bench of UP-RERA de-registered phases 3,4 and 5 of the project, for which buyers have so far paid about 20 per cent to the builder. In this regard, the regulatory authority has asked for a co-developer to be brought on board to complete the 2,000 flats of the mentioned phases, assuring buyers that ongoing investigation would not affect the progress of work in these phases. The project, launched in the year 2007, is valued at Rs 1,500 crore.

“Apart from financial discrepancies of the group, we have also ordered a technical inspection of the incomplete towers of Aranya’s phases 1, 2 and 3 to decide our next course of action related to construction work,” Kumar added.

A special committee is currently looking into the financial discrepancies of the Unnati Group. The committee is headed by UP-RERA member Balwinder Kumar, including the Noida Authority's CEO as well as technical and financial officers from the regulatory authority.



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