New Delhi [India], October 2 (ANI): The Enforcement Directorate (ED) on Friday said it had arrested S Vasudevan, Chairman and Managing Director (CMD) and promoter of Ozone Urbana Infra Developers Pvt Ltd, in connection with an alleged homebuyer fraud case worth Rs 927.22 crore.
Vasudevan was arrested on September 30 under Section 19 of the Prevention of Money Laundering Act (PMLA), 2002, in connection with the money laundering investigation being conducted against Ozone Urbana Infra Developers Pvt Ltd and Others.
The Enforcement Directorate said the arrest followed an ongoing investigation which revealed that Ozone Urbana Infra Developers Pvt Ltd, along with Vasudevan (main promoter), has defrauded the home buyers to the tune of Rs 927.22 crores and did not deliver possession of apartments and units against the money, thereby dishonestly retaining and diverting the funds.
ED's Bengaluru Zonal Office arrested Vasudevan and subsequently produced him before a special court in Bengaluru on October 1, which granted 14 days’ ED custody for further investigation.
ED investigation was initiated based on multiple First Information Reports (FIRs) under sections 419, 420 and 120B of the Indian Penal Code, 1860, registered at various police stations of Bengaluru City against Ozone Urbana Infra Developers Pvt Ltd and its promoters. Further, an FIR was also registered against the company and its promoter by the Central Bureau of Investigation on the direction of the Supreme Court.
ED said the main allegation against the company Ozone Urbana Infra Developers Pvt Ltd is that it has defaulted in completion of construction of the project in time and failed to hand over the possession to the customers.
"It is alleged that the company induced the gullible customer by offering to pay pre-construction EMIs till handing over the possession of the flat to homebuyers. However, it has failed to honour its commitments and did not complete the project and flats. The builder neither delivered possession of the residential units to homebuyers nor refunded their deposited amount and misappropriated the entire upfront booking amount/loan amount," said the ED in a statement.
Earlier, ED's Bangalore zonal office had conducted search operations under section 17 of PMLA, 2002 on August 1 last year in this case and seized various incriminating documents from various premises.
"Further investigation has revealed that Ozone Urbana Infra Developers Pvt Ltd along with Vasudevan (main promoter) have defrauded the home buyers to the tune of Rs 927.22 Crores and did not deliver possession of apartments and units against the said money, thereby dishonestly retaining and diverting the funds."
Based on the investigation conducted and the material gathered, ED said it had earlier issued a Provisional Attachment Order on October 4 last year, provisionally attaching immovable properties having a total value of Rs 423.378 crores under the provisions of the PMLA.
A parallel investigation has been initiated under the provisions of the PMLA, 2002 on the basis of three different FIRs registered by the CBI, New Delhi, against Ozone Infra Developers Pvt Ltd, Ozone Realtors Pvt Ltd and Ozone Projects Pvt Ltd for defrauding the homebuyers.
ED said Vasudevan is the common director in all three companies under investigation.
As per the ED, the arrest of Vasudevan has been effected pursuant to the material gathered during the investigation and is aimed at further investigating the generation, diversion, layering and utilisation of the Proceeds of Crime, including the role of the promoter and the various group entities and persons through whom the funds were routed. (ANI)
ED arrests Ozone Urbana Infra Developer's CMD in Rs 927.22 crore homebuyer alleged fraud case
