The Economic Offences Wing (EOW) of Mumbai police has filed a chargesheet against billionaire realtor Chandru Raheja and his two sons Neel Raheja and Ravi Raheja who run their business under privately held K Raheja Corp. The chargesheet has been filed for allegedly cheating industrialist Nusli Wadia for an amount running on to crores in a property deal.
As per a press statement issued on behalf of Wadias, the chargesheet is with respect to a complaint filed in 2008.
In 1995, Wadias, as the administrator of the estate of the late EF Dinshaw, entered into an agreement with Rahejas for development of land in Malad to construct an eight-floor commercial building called Ivory Towers.
Accordingly, Rahejas were given 1,70,656 square feet of land for development; Rahejas were supposed to construct a commercial property and sell it to third parties. Rahejas were also to transfer 12 per cent of the sale proceeds to Wadias, as per the statement.
In the event of not developing the property, the agreement also stipulated that Rahejas weres supposed to pay Rs 3.75 crore as minimum guarantee amount.
However, Ivory Towers was not built. Instead it is alleged Rahejas transferred about Rs 3.89 crore in Wadia’s bank account, claiming to be the 12 per cent share of Ivory Tower, which was never built.
It has been alleged that Rahejas misrepresented ‘release deeds’ to represent that the Wadia relinquished his rights over the land.
Further, instead of constructing Ivory Towers, Rahejas built a mall called ‘Hypercity’ in 2006. Then Rahejas transferred the mall to their own company, Hypercity Retail India Pvt. Ltd., keeping the administrator in the dark.
The spokesperson of K Raheja Corp could not be immediately contacted for its version of the development.