The Economic Offences Wing has intensified its investigation into six major builders in Noida after the Noida Authority alleged that they failed to clear substantial dues and may have diverted funds collected from homebuyers. The inquiry is examining how money raised for housing projects was used and whether any portion was transferred to other projects, companies or financial channels.
Noida Authority Asked to Submit Project Records
The EOW has contacted the Group Housing Department at the Noida Authority’s main administrative building in Sector 96 and sought detailed records relating to the six developers. The documents requested include land allotment papers, lease deeds, payment records, outstanding dues, construction progress reports and other material connected with the housing projects.
Authority officials said the requested documents would be provided to the investigating agency shortly. The records are expected to help investigators trace the use of funds collected from flat buyers and determine whether the money was invested in the projects for which it had originally been raised.
The investigation was initiated after the builders allegedly failed to respond satisfactorily to repeated notices issued by the authority. The developers had also reportedly not participated in meetings called to resolve their outstanding liabilities.
According to the report, the builders under scrutiny did not opt for the relief scheme introduced by the Uttar Pradesh government on the recommendations of the Amitabh Kant Committee. The authority subsequently decided to refer the suspected financial irregularities to the EOW.
Fund Diversion and Possible Hawala Links Under Scrutiny
Investigators will examine whether money collected from thousands of homebuyers was used for the relevant housing projects or diverted to other businesses and financial channels. The flow of funds may also be reviewed for possible hawala links, if evidence emerging during the inquiry warrants such examination.
The report identifies several developers whose projects and dues are being scrutinised. Assotech Limited was allotted the GH-04A plot in Sector 78 on July 27, 2010. After paying the initial instalments, the builder allegedly stopped further payments, leaving dues of around ₹88 crore.
GSS Prokan Private Limited was allotted the GH-1C plot in Sector 143B on August 10, 2010. Despite several notices, the company allegedly failed to deposit its dues, which the report places at approximately ₹90.54 crore.
Granite Gate Properties Private Limited has two projects in Noida. The report states that the combined outstanding amount linked to these projects is ₹1,589.27 crore.
Shubhkamna Buildtech Private Limited was allotted the GH-05 plot in Sector 137 on March 23, 2010. The company allegedly neither cleared its outstanding payments nor completed construction despite repeated notices.
IVR Prime Developer Private Limited was allotted a group housing plot in Sector 118 on April 18, 2007. According to the report, dues of ₹500 crore remain unpaid despite several notices.
Relief Scheme Enables Registration of 4,300 Flats
Noida Authority Additional Chief Executive Officer Vandana Tripathi said homebuyers in projects where developers adopted the relief scheme recommended by the Amitabh Kant Committee had started receiving relief.
Approximately 4,300 flats have so far been registered under the scheme, while participating builders have deposited around ₹800 crore with the authority.
The ongoing EOW inquiry will now focus on the financial conduct of developers who did not join the relief process or respond to efforts aimed at settling their dues. The agency is expected to rely on allotment records, payment details and project documents to determine whether homebuyers’ funds were improperly diverted and whether further legal action is warranted.
About the author — Suvedita Nath is a science student with a growing interest in cybercrime and digital safety. She writes on online activity, cyber threats, and technology-driven risks. Her work focuses on clarity, accuracy, and public awareness.
