MUMBAI: The Economic Offences Wing (EOW) of the Mumbai Police has taken over the investigation into a major redevelopment fraud case involving three developers accused of cheating a Kandivali-based businessman of ₹18.09 crore.
The case stems from a complaint filed by Rakesh Virendra Singh (51), a builder from Thakur Complex, Kandivali (East), who alleged that three individuals—Apoorva Shah, Sheetal Shah, and Vishesh Shah—misrepresented property ownership in a joint redevelopment project in Malad (West).
According to the First Information Report registered at Malad Police Station, Singh was approached by the accused, who presented themselves as the sole owners of two adjoining properties—Ram Niwas (Survey Nos. 695, 695/1–7) and Kamal Kunj (Survey Nos. 694/1–11)—located on Ramchandra Lane, Malad (West). The properties, Singh was told, were ideal for a lucrative redevelopment venture.
Disputed Ownership and Concealed Legal Battles
Investigators now say the developers allegedly concealed critical information about the properties’ legal status. The complaint states that the trio did not disclose that the properties were not “clear title” and were entangled in ongoing litigation. Despite this, they entered into a Joint Development Agreement (JDA) with Singh’s firm, purportedly to carry out the redevelopment.
The accused allegedly provided fabricated ownership documents to lend credibility to their claim and induce Singh to invest. By the time the discrepancies came to light, significant funds had already changed hands.
₹18.09 Crore Diverted Without Progress
Singh’s complaint details how the accused lured him with promises of high returns and swift construction progress. He reportedly invested ₹18.09 crore to cover permissions, tenant vacating, excavation, and plinth-level construction.
However, investigators allege that the money was diverted and no tangible work was undertaken on the site. “After receiving the funds, the accused failed to execute the project or refund the investment, thereby committing fraud,” the FIR states.
The episode has drawn the attention of financial crime units due to its scale and the involvement of multiple real estate entities. The EOW’s early findings suggest that the funds were dispersed across several accounts, raising questions about possible misuse beyond the Malad project.
Economic Offences Wing Steps In
Following Singh’s formal complaint, the Malad Police registered an FIR under relevant provisions of the Bharatiya Nyaya Sanhita (BNS)—India’s new criminal code—covering cheating and criminal breach of trust. The case has since been transferred to the Economic Offences Wing (Unit 12) for a detailed investigation.
Senior officials familiar with the matter confirmed that investigators are examining financial trails, corporate linkages, and the authenticity of the documents used to secure Singh’s investment.
“The nature of the alleged deception—using redevelopment as a pretext—makes it a classic case of urban property fraud,” one official said on condition of anonymity.
