The luxurious Hiranandani Garden along with other landmarks in Powai are apparently built on land limited to bulk housing in a real estate property scam worth Rs45,000 crore. Some 344 acres of land which would have given decent housing for the common man was turned into living for the well-offs by the reputed builder Hiranandani
The Bombay High Court lifted its prior stay on the probe into the alleged Rs45,000-crore Powai real estate scam, leaving it to the anti-corruption bureau (ACB) to resume researching Hiranandani Developers, senior state bureaucrat Thomas Benjamin and additional unknown persons. The order has given boost to the attempts by social activist Santosh Daundkar and IPS officer-turned-lawyer YP Singh. The titanic fraud stood uncovered because of the persistent attempts created by the then the Commissioner of Mumbai Metropolitan Region Development Authority (MMRDA) A Ratnakar Gaikwad.
In July 2012, in line with the claim by social activist Santosh Daundkar, an exclusive court had requested the anti-corruption bureau (ACB) to record an FIR in the issue against Niranjan Hiranandani, TC Benjamin and other unknown persons for the Rs30,000 crore land scam (Rs45,000 crore in current valuation). Mr Benjamin, who was previously supplemental chief secretary of urban development division and today additional chief secretary of the public health department of the Government of Maharashtra, then moved the HC to question the probe. Just one judge on 10 July 2012 awarded an interim stay on the investigation, pending hearing of the court case.
The relief proceeds to be short-lived as the Bombay HC bench composed of justice Sadhana S Jadhav and justice AS Oka made the subsequent declaration in the order dated 25 September 2012-“By granting ad interim relief, the writ court cannot block the process for examination. Hence, we decline to carry on the ad interim relief awarded earlier.” In his claim, Mr Daundkar assumed that the state had given 344 acres in Powai on an 80-year hire to Hiranandani building contractors in 1986 to develop modest homes for mass housing. The complainant accused the developer of breaking t's and c's of the tripartite arrangement it had agreed upon with the state and infrastructure body MMRDA in 1986.
Based on the contract, 50% of the homes were said to be 430 sq feet and outstanding 50% of 860 sq ft size, but blocking the tenements compulsorily needed to be surrendered to the government, there was not a single tenement in the entire complex of 430 sq feet. Only luxurious flats were constructed for the rich that get top quality valuations. The claim states that rather than taking due action up against the guilty public servants and private persons, offender principal secretary, urban development section, Thomas Benjamin, along with other suspect officers in the Government of Maharashtra started performing a fraud, whereby they started indulging in scheming acts so as to help accused No. 1 (Mr Hiranandani) emerged from this fraud.
The complaint states that Mr Benjamin took numerous dubious decisions as follows:
• Land not to be taken back although it was meant for bulk housing.
• Permitting 100% additional FSI to be used due to TDR without having to put in the stipulation of mass property even though the contract conditions stipulated that every form of FSI will be used for mass housing.
• To excuse the violation of making immense luxurious homes rather than making smaller houses for mass homes.
• Allowing the retention of unlawfully combined tenements so as to give them a shape of large deluxe homes.
• To use the generous guidelines of 2007 even though the deal for mass real estate was signed in the year 1986 and that rules of 2007 could not have been applied for a land given for mass housing in the year 1986.
• To allow for development of commercial areas in the community whereas the agreement of 1986 did not make any such provision and was purely intended for mass housing. It was for this illegitimate relaxation to the sacrosanct provisions of the arrangement that commercial buildings of tremendous sizes have come up in the place which was to be for mass housing.
• Creation of a legal fiction whereby the matter could be settled by impacting fine. Originally a fine of about Rs2,000 crore was suggested. Now it is learnt that the same has been brought right down to about Rs200 crore or even lower.
• To let off Accused No. 1 without facing prosecution for criminal violation of faith, and infringement of the Urban Land (Ceiling and Regulation) Act, 1976 and also the Prevention of Corruption Act, 1988.
• To not to take any pursuit versus the public servants who permitted this scam to occur before their eyes for nearly Two decades.
Tuesday, 4 June 2013
Monday, 25 March 2013
Hiranandani moves HC seeking revocation of stay on flats' sale
Hiranandani Developers have contacted the Bombay High Court looking for it to vacate a stay on sale of combined flats in its township at suburban Powai. The request filed by the firm and its co-founder Niranjan Hiranandani has desired cancellation of the stay enforced by the High Court in December 08, while listening to a public interest litigation, contending that the arbitrator found no infractions in its venture. "The arbitrator appointed to look into the tripartite agreement between the land owners, government and MMRDA has found no irregularities in the project," the petitioner's counsel Shrihari Aney contended.
The High Court had on December 4, 2008 controlled Hiranandani from trading amalgamated apartments in Powai's Hiranandani Gardens and stated it couldn't sell in excess of 2 flats to 1 person till more requests. The stay was enforced in a PIL submitted by Kamlakar Satve and Rajendra Thacker claiming that Hiranandani had dishonored a 1986 deal for building 230 acres of land underneath the Powai Area Development Scheme.
The PIL claimed that the questioned flats were constructed on a plot of land, that was initially allotted to contractors for development of inexpensive houses for the middle-class, but the same were distributed to the wealthy and well established.
Aney today quarreled that independent committees were designated by the government and MMRDA to investigate the accusations and no transgressions were found. "Even an arbitrator was appointed who passed an order in our favour in August this year," he said.
Wednesday, 20 March 2013
Hiranandani Constructions proposes to lodge PF money if names given
In a extraordinary defence push, the attorney appearing for the two personnel of Hiranandani Constructions has offered that the business is prepared to deposit the claimed fraud quantity of Rs9.36 crore should the Central Bureau of Investigation (CBI) informs them on whose name to deposit the cash.
Defence negotiater Jagdish Shah told a legal court that anyone who succeeds in the case can take the funds with interest. “We can provide Rs9.36 crore as a good cause. Whosoever will succeed can take away that amount of money with interest. Should they identify the charge, they will take the cash. If we are found not guilty, we will get it with interest,” said Shah.
The anti-corruption side of CBI has claimed that Hiranandani Construction hadn't compensated provident fund (PF) for their staff members. The supposed non-payment, as per an investigation submitted on June 30 by the Employee Provident Fund (EPF) in its department analysis, is to the melody of Rs9.36 crore. Gm of the firm Joseph Reddy and venture representative C Pithawala have shifted an anticipatory bail practical application ahead of the special CBI court.
Having said that, Shah’s controversy was emphatically objected to by CBI lawyer Bharat Badami. “We aren't recuperation agencies. You are unable to transfer finances and remove yourself of the criminal offense. We'd like them imprisoned.”
Shah publicly stated that there's no preventative measure in legislation which offers for this kind of understanding. He explained that the organization would prefer to cover cash with legitimate motives regardless of the capabilities of the scenario.
Special CBI judge SP Hayatnagarkar has set aside the order. Four PF officers, two company directors of company, Niranjan and Surendra Hiranandani, and the 2 applicants were referred to in the FIR submitted on March 29, 2008 for supposed fraudulence of Rs168 crore. The claim was lowered to Rs9.36 crore following the document.
Thursday, 7 February 2013
Case against construction company Hiranandani, senior bureaucrat, others for Rs. 30,000-crore property scam
The Anti-Corruption Bureau of Maharashtra Law enforcement officials submitted a First Information Report in opposition to building contractor Niranjan Hiranandani and senior IAS (Indian Administrative Services) official Thomas Benjamin, currently the Additional Chief Secretary of the Urban Improvement department, as well as others, on suspicions of their participation in a property fraud worth Rs. 30,000 crore.
The fraudulent situation is concerning the allowance of 344 acres, that have been reserved for bulk housing projects, but that have been presumably utilized unlawfully by Mr. Hiranandani for constructing Hiranandani complex, a distinguished destination in Powai, Mumbai. “Pursuant to this situation that the terrain could well be useful for mass construction, government entities of Maharashtra took the choice to return the said acreage to the erstwhile land proprietors in whose Power of Attorney occured by Niranjan Hiranandani, and to decrease the acquisition procedures and the obtained land was given back to the landowners at a cost of Re. 1 per hectare,” reported by Y.P. Singh, advocate for complainant Santosh Daundkar.
“Once the complete terrain came in possession of the offender Mr. Hiranandani, he then signed a criminal fringe movement with the general public servants. In furtherance to such felony conspiracy, Mr. Hiranandani chose to cheat the less strong areas and and thus, purposely and deliberately flouted the fundamental situation on which the stretch of land was given back to the landowners within the procedures of the Urban Land (Ceiling and Regulation) Act, 1976,” the grievance claimed.
The complainant statements that if worked out in accordance with the economy price, the massive amount of the fraud will be around Rs. 45,000 crore. The ACB documented an FIR against Mr. Hiranandani, Mr. Benjamin and unidentified federal government administrators under section 13(1)(d) of the Prevention of Corruption Act, 1988, section 120-B read with section 166, 217, 409 and 420 the Indian Penal Code, sections 38, 41 of the Urban Land (Ceiling and Regulation) Act, 1976 and sections 52 and 53 of the Maharashtra Regional and Town Preparation Act, 1966.
The fraudulent situation is concerning the allowance of 344 acres, that have been reserved for bulk housing projects, but that have been presumably utilized unlawfully by Mr. Hiranandani for constructing Hiranandani complex, a distinguished destination in Powai, Mumbai. “Pursuant to this situation that the terrain could well be useful for mass construction, government entities of Maharashtra took the choice to return the said acreage to the erstwhile land proprietors in whose Power of Attorney occured by Niranjan Hiranandani, and to decrease the acquisition procedures and the obtained land was given back to the landowners at a cost of Re. 1 per hectare,” reported by Y.P. Singh, advocate for complainant Santosh Daundkar.
“Once the complete terrain came in possession of the offender Mr. Hiranandani, he then signed a criminal fringe movement with the general public servants. In furtherance to such felony conspiracy, Mr. Hiranandani chose to cheat the less strong areas and and thus, purposely and deliberately flouted the fundamental situation on which the stretch of land was given back to the landowners within the procedures of the Urban Land (Ceiling and Regulation) Act, 1976,” the grievance claimed.
The complainant statements that if worked out in accordance with the economy price, the massive amount of the fraud will be around Rs. 45,000 crore. The ACB documented an FIR against Mr. Hiranandani, Mr. Benjamin and unidentified federal government administrators under section 13(1)(d) of the Prevention of Corruption Act, 1988, section 120-B read with section 166, 217, 409 and 420 the Indian Penal Code, sections 38, 41 of the Urban Land (Ceiling and Regulation) Act, 1976 and sections 52 and 53 of the Maharashtra Regional and Town Preparation Act, 1966.
Friday, 25 January 2013
Case against construction company Hiranandani, senior bureaucrat, others for Rs. 30,000-crore property scam
The Anti-Corruption Bureau of Maharashtra Law enforcement officials submitted a First Information Report in opposition to building contractor Niranjan Hiranandani and senior IAS (Indian Administrative Services) official Thomas Benjamin, currently the Additional Chief Secretary of the Urban Improvement department, as well as others, on suspicions of their participation in a property fraud worth Rs. 30,000 crore.
The fraudulent situation is concerning the allowance of 344 acres, that have been reserved for bulk housing projects, but that have been presumably utilized unlawfully by Mr. Hiranandani for constructing Hiranandani complex, a distinguished destination in Powai, Mumbai. “Pursuant to this situation that the terrain could well be useful for mass construction, government entities of Maharashtra took the choice to return the said acreage to the erstwhile land proprietors in whose Power of Attorney occured by Niranjan Hiranandani, and to decrease the acquisition procedures and the obtained land was given back to the landowners at a cost of Re. 1 per hectare,” reported by Y.P. Singh, advocate for complainant Santosh Daundkar.
“Once the complete terrain came in possession of the offender Mr. Hiranandani, he then signed a criminal fringe movement with the general public servants. In furtherance to such felony conspiracy, Mr. Hiranandani chose to cheat the less strong areas and and thus, purposely and deliberately flouted the fundamental situation on which the stretch of land was given back to the landowners within the procedures of the Urban Land (Ceiling and Regulation) Act, 1976,” the grievance claimed.
The complainant statements that if worked out in accordance with the economy price, the massive amount of the fraud will be around Rs. 45,000 crore. The ACB documented an FIR against Mr. Hiranandani, Mr. Benjamin and unidentified federal government administrators under section 13(1)(d) of the Prevention of Corruption Act, 1988, section 120-B read with section 166, 217, 409 and 420 the Indian Penal Code, sections 38, 41 of the Urban Land (Ceiling and Regulation) Act, 1976 and sections 52 and 53 of the Maharashtra Regional and Town Preparation Act, 1966.
The fraudulent situation is concerning the allowance of 344 acres, that have been reserved for bulk housing projects, but that have been presumably utilized unlawfully by Mr. Hiranandani for constructing Hiranandani complex, a distinguished destination in Powai, Mumbai. “Pursuant to this situation that the terrain could well be useful for mass construction, government entities of Maharashtra took the choice to return the said acreage to the erstwhile land proprietors in whose Power of Attorney occured by Niranjan Hiranandani, and to decrease the acquisition procedures and the obtained land was given back to the landowners at a cost of Re. 1 per hectare,” reported by Y.P. Singh, advocate for complainant Santosh Daundkar.
“Once the complete terrain came in possession of the offender Mr. Hiranandani, he then signed a criminal fringe movement with the general public servants. In furtherance to such felony conspiracy, Mr. Hiranandani chose to cheat the less strong areas and and thus, purposely and deliberately flouted the fundamental situation on which the stretch of land was given back to the landowners within the procedures of the Urban Land (Ceiling and Regulation) Act, 1976,” the grievance claimed.
The complainant statements that if worked out in accordance with the economy price, the massive amount of the fraud will be around Rs. 45,000 crore. The ACB documented an FIR against Mr. Hiranandani, Mr. Benjamin and unidentified federal government administrators under section 13(1)(d) of the Prevention of Corruption Act, 1988, section 120-B read with section 166, 217, 409 and 420 the Indian Penal Code, sections 38, 41 of the Urban Land (Ceiling and Regulation) Act, 1976 and sections 52 and 53 of the Maharashtra Regional and Town Preparation Act, 1966.
Monday, 7 January 2013
Mumbai Residents Plagued by Building Works
The residents of Mumbai are once again affected by the practices of local builders. Raheja Developers have recently placed a cement mixing plant in the middle of their housing complex, causing round-the-clock the noise disturbance for the residents, as well as spewing out a fine dust which spreads throughout the air, making it impossible to escape from breathing it in.
Residents held a protest within their compound, demanding that the plant be shut down with immediate effect. The builders are using the plant to produce cement for other ongoing projects unrelated to the Raheja Vihar complex. Locals are up in arms at the disturbance from the plant itself, as well as heavy goods vehicles which pass through outside their homes several times daily.
Supporter and Raheja Vihar resident JP Shetty spoke on behalf of the complex: “The residents have been ever since been protesting setting of the plant in a residential area. We don’t understand how the builder managed permission despite this. The developers have turned a deaf ear to our request of closing the plant. We are meeting again on this Thursday to decide future course of action.”
Fellow homeowner Akash Khanna added: “It is frustrating to live in area where we bought flats for peace that we face the plant’s music and the fine dust suspended in the air is the carrier for many diseases and allergies that have become a common place here, any doctor will vouch for this.”
Raheja Developers have claimed their not doing anything wrong and have rubbished the complaints from locals: “We have installed low-noise machines and the whole area is covered to baffle sound and prevent of fly-ash. Thus the claim of residents does not hold ground.”
Local authorities spokesperson Sharad Pawar gave the following statement: “I have received a number of complaints on this mixture plant and I approached the concerned authorities to look into this.”
This isn't the first time Mumbai locals have fallen foul local builders. Niranjan Hiranandani, owner of Hiranandani Construction has long duped unsuspecting residents. The most notable incident being the homes in Powai he was commissioned to build for underprivileged families, but instead built luxury apartments and sold them to the rich in order to turn more profit. Niranjan Hiranandani has been investigated by the Anti-Corruption Bureau on more than one occasion due to his dishonest business deals.
Residents held a protest within their compound, demanding that the plant be shut down with immediate effect. The builders are using the plant to produce cement for other ongoing projects unrelated to the Raheja Vihar complex. Locals are up in arms at the disturbance from the plant itself, as well as heavy goods vehicles which pass through outside their homes several times daily.
Supporter and Raheja Vihar resident JP Shetty spoke on behalf of the complex: “The residents have been ever since been protesting setting of the plant in a residential area. We don’t understand how the builder managed permission despite this. The developers have turned a deaf ear to our request of closing the plant. We are meeting again on this Thursday to decide future course of action.”
Fellow homeowner Akash Khanna added: “It is frustrating to live in area where we bought flats for peace that we face the plant’s music and the fine dust suspended in the air is the carrier for many diseases and allergies that have become a common place here, any doctor will vouch for this.”
Raheja Developers have claimed their not doing anything wrong and have rubbished the complaints from locals: “We have installed low-noise machines and the whole area is covered to baffle sound and prevent of fly-ash. Thus the claim of residents does not hold ground.”
Local authorities spokesperson Sharad Pawar gave the following statement: “I have received a number of complaints on this mixture plant and I approached the concerned authorities to look into this.”
This isn't the first time Mumbai locals have fallen foul local builders. Niranjan Hiranandani, owner of Hiranandani Construction has long duped unsuspecting residents. The most notable incident being the homes in Powai he was commissioned to build for underprivileged families, but instead built luxury apartments and sold them to the rich in order to turn more profit. Niranjan Hiranandani has been investigated by the Anti-Corruption Bureau on more than one occasion due to his dishonest business deals.
Tuesday, 18 December 2012
Hiranandani Construction Scam Homes From The Poor
Indian businessman Niranjan Hiranandani has come under fire again with further questionable behaviour relating to his business Hiranandani Construction. In 1986 a 344 acre plot of land in Powai, Mumbai, was handed to Hiranandani's building firm under the agreement that it be used to build homes for thousands of underprivileged families in desperate need of homes. There was an 80 year lease included in the deal, and building work was supposed to commence as soon as possible.
Twenty six years later and Niranjan Hiranandani is being investigated amid allegations that he unlawfully used the land to build his own Hiranandani complex, shunning the plans for the much needed new homes.
Initially filed by the Maharashtra Police, the court has received a First Information Report which detailed how Niranjan Hiranandani entered into the agreement with the Indian State Government and Mumbai Metropolitan Region Development Authority, who only approached Hiranandani Construction under the pretense they were honest and reliable. Instead, Niranjan Hiranandani violated the terms of this signed agreement.
According to the agreement, Hiranandani Construction were supposed to build multiple homes sized no bigger than 430sq ft by 860 sq ft, in order to accommodate the thousands of disadvantaged families who desperately needed a home. But Niranjan Hiranandani misused the land and built larger homes of over 1,000sq ft and sold them at a higher price to wealthy locals, making a much larger profit. Comparing the plans with what has been built Social activist Santosh Daundkar uncovered that Hiranandani made significant changes to the structural plan, combining two flats into one larger flat, almost halving the amount of homes available, then selling them to the rich.
It is estimated that Hiranandani Construction made in the region of Rs. 45,000 crore (approximately $8 billion USD) from the scam; also leaving the poverty stricken families the flats were supposed to be for, without homes.
Special judge VA Daulatbadkar also read in the report, by Anti-Corruption Bureau (ACB), that Hiranandani had used his position within local government to bribe civil servants into allow his construction to be overlooked and the profits made were used to fund Niranjan Hiranandani's lifestyle and future business ventures.
Daundkar has helped lead the campaign to expose the corruption, presenting the ACB report, along with his own findings. Special judge VA Daulatbadkar was satisfied by the prima facie and has instructed that an official investigation take place as sufficient material has been presented to the court to support the claims made against Hiranandani in the land scam.
Niranjan Hiranandani has so far refused to comment.
Twenty six years later and Niranjan Hiranandani is being investigated amid allegations that he unlawfully used the land to build his own Hiranandani complex, shunning the plans for the much needed new homes.
Initially filed by the Maharashtra Police, the court has received a First Information Report which detailed how Niranjan Hiranandani entered into the agreement with the Indian State Government and Mumbai Metropolitan Region Development Authority, who only approached Hiranandani Construction under the pretense they were honest and reliable. Instead, Niranjan Hiranandani violated the terms of this signed agreement.
According to the agreement, Hiranandani Construction were supposed to build multiple homes sized no bigger than 430sq ft by 860 sq ft, in order to accommodate the thousands of disadvantaged families who desperately needed a home. But Niranjan Hiranandani misused the land and built larger homes of over 1,000sq ft and sold them at a higher price to wealthy locals, making a much larger profit. Comparing the plans with what has been built Social activist Santosh Daundkar uncovered that Hiranandani made significant changes to the structural plan, combining two flats into one larger flat, almost halving the amount of homes available, then selling them to the rich.
It is estimated that Hiranandani Construction made in the region of Rs. 45,000 crore (approximately $8 billion USD) from the scam; also leaving the poverty stricken families the flats were supposed to be for, without homes.
Special judge VA Daulatbadkar also read in the report, by Anti-Corruption Bureau (ACB), that Hiranandani had used his position within local government to bribe civil servants into allow his construction to be overlooked and the profits made were used to fund Niranjan Hiranandani's lifestyle and future business ventures.
Daundkar has helped lead the campaign to expose the corruption, presenting the ACB report, along with his own findings. Special judge VA Daulatbadkar was satisfied by the prima facie and has instructed that an official investigation take place as sufficient material has been presented to the court to support the claims made against Hiranandani in the land scam.
Niranjan Hiranandani has so far refused to comment.
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