The directorate of enforcement (ED) in Bengaluru has provisionally attached properties worth INR4.2 billion (USD48.18 million) as part of an investigation against Ozone Urbana Infra Developers and others under the Prevention of Money Laundering Act, 2002. The investigation began when multiple police stations in the city received first-information reports (FIRs) against the company and its promoters.
The Central Bureau of Investigation in New Delhi had also registered an FIR against the company and its promoter, following a Supreme Court of India order.
The allegations against the company involved luring homebuyers with the false promise of paying the pre-construction equated monthly instalments until possession of the property. But Ozone Urbana Infra Developers never completed the construction projects, failed to hand over possession and never refunded the deposits. It was further alleged that the company also misappropriated the entire upfront booking amount.
An ED investigation led to evidence of diversion and misappropriation of project funds, and revelations the defrauded amount from homebuyers totalled INR9.2 billion.
It is alleged Ozone Urbana Infra Developers and its promoter S Vasudevan defrauded homebuyers and did not deliver possession of the apartments as promised. Vasudevan allegedly diverted funds to himself, his family members and other entities. As a result, properties owned by the company, Vasudevan and his wife have been provisionally attached.
Investigations are continuing.
