Noida: The Central Bureau of Investigation (CBI) has launched an inquiry into group housing projects in the city where flat buyers have allegedly faced prolonged delays and financial difficulties. The investigating agency questioned Noida Authority officials and employees at its Delhi office for four consecutive days last week. During the questioning, officials were asked about project allotments, approval of building plans and the activities of developers. The CBI has also taken several important files related to allotments and approved maps into its possession for examination. According to sources, the investigation initially focused on Jaypee’s Cube project in Sector 128.
Sources said the CBI has focused particularly on the role of the Authority’s planning department while examining documents related to the Cube project. The investigation subsequently expanded to other group housing projects where flat buyers have reportedly been waiting for years. Projects being examined include The Willows in Sector 79, The Orchard in Sector 131 and Bloom Zest in Sector 143, among others. Most of the projects under scrutiny are old, with some reportedly still incomplete even after eight to 10 years.
The CBI has questioned officials about when and under what circumstances the building plans of these projects were approved. Officials were also asked on what basis developers were allowed to sell flats before or after approval of the building plans. The agency has reportedly raised pointed questions about the role of officials who were posted in the Authority at the relevant time and those responsible for approving the plans.
The investigating agency also sought information about projects that remained stalled for years after their plans were approved. Officials were asked how the Authority assessed structural safety and compliance with construction standards when developers resumed construction after a prolonged gap on the basis of previously approved plans. Questions were also reportedly raised over whether a builder could legally sell flats before the building plan for a project had been approved.
Bank Officials Also Questioned
According to sources, the CBI also called bank officials along with Noida Authority personnel. They were questioned about loans sanctioned for the projects and the release of funds to builders. The agency reportedly asked whether banks had verified when buyers booked their flats and when the Authority approved the corresponding project plans.
The CBI also sought details about the proportion and stages in which loan amounts were released to developers. The purpose was to examine whether financial institutions had carried out adequate checks regarding project approvals and the status of the properties before releasing funds.
Authority’s Role Before RERA Also Under Scrutiny
Another significant aspect of the investigation concerns the role of the Noida Authority before the Real Estate Regulatory Authority (RERA) framework came into effect. RERA was enacted in 2016 and became operational in 2017. The CBI is examining whether the Authority’s responsibility during the earlier period was limited to land allotment and approval of building plans or whether it also included monitoring construction activity.
The agency has reportedly asked officials whether the Authority had taken action against developers who violated rules. In the case of the Cube project in Sector 128, investigators have sought details regarding the building plan approved in 2013 and when the Jaypee plot was identified in the Authority’s records.
The CBI’s questioning has reportedly created unease among officials and employees in the Authority’s group housing and planning departments. Officials may be called again for questioning. Noida Authority Chief Executive Officer Krishna Karunesh said the Authority is providing all information sought by the investigating agency. He said officials and employees from the concerned departments appear before the agency whenever they are called to provide information.
