The Enforcement Directorate (ED) has attached assets worth ₹462 crore in the form of 33 flats of Pyramid Developers in a case related to alleged use of fake papers for availing extra Floor Space Index (FSI) under the Slum Rehabilitation Authority (SRA) scheme.
A money laundering case was registered in March 2017 on the basis of an FIR registered by the Mumbai Police against Congress leader Baba Siddique and others.
The FIR alleged that the suspected persons cheated the State by preparing false ration cards, photo passes, shop and establishment licences and submitted the same to the SRA to get approval for redevelopment of Jamat-e-Jamhooria CHS Limited, located in Mumbai’s Bandra (West).
“The said bogus documents were also used to get extra FSI for wrongful gains,” said an ED official.
Pyramid Developers were appointed the developers and Neo Modern Architects the architect for re-development, the ED said.
The developer undertook the work by submitting the proposal before the SRA.
Letter of Intent
The SRA issued the Letter of Intent dated December 4, 2003, sanctioning FSI of 1.875 for the said scheme.
In compliance with the SRA’s directives, the developers approached the Ministry of Environment for clearance of the project. The Ministry accorded clearance on the condition that FSI would not exceed the February 1991 limit. The amendments were made by the in 2007 and 2010.
ED investigation revealed a number of violations in the construction of the building by allowing exemptions which were otherwise not available to the project. The FSI had exceeded the permissible limit.
A no-objection certificate was issued for construction in the area measuring 16,742 square metre, whereas the actual construction was undertaken by showing the plot area as 18,662.70 square metre.
The developer had constructed 81 flats in the sale building, divided equally between Pyramid Developers and Satra Buildcon Pvt. Ltd. The average sale value of each flat is about ₹14 crore.
Published - April 06, 2018 04:09 pm IST
