Explosive !! How Cheating by “Branded” Builders Like Raheja Developers (CMD Navin Raheja) Have Caused Crash Of Confidence In Real Estate Market

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The FIRE DEPARTMENT OBJECTIONS report on Raheja Vedaanta residential project is EXPLOSIVE!! In addition to exposing how senior IAS officers abdicated their duty, it exposes how Mr Navin Raheja & Raheja Developers took the buyers, public servants, courts, organizations like NAREDCO, and the mass media for a grand ride. Mr Raheja has left a toxic mess for all the unfortunate people who trusted him, or who were compromised by him, to clean up after him.

If you are planning to buy a property, or are an owner of an under-construction property, the story of how a group of buyers have taken Raheja Developers, and its MD Navin Raheja, HEAD-ON is a MUST READ. If you are getting ready to take possession of your property from a builder, then this is essential reading for you. You won’t find this news in the mass print or electronic media, for sad but obvious reasons, but this explosion will soon reverberate throughout Indian Real Estate. 

One of the most systematic and organized efforts to take on an unscrupulous builder is underway. The big question is will the current Chairman of NAREDCO, Mr Navin Raheja, have to face arrest if the case is taken to its logical conclusion. Over 600 Raheja buyers have already filed 25 cases at the National Consumer Commission (NCDRC) against Raheja Developers, and the fight for justice is spilling over on to many other platforms. This story of Raheja Buyers is going to be bigger than the landmark Belaire & Park Place Buyers fight against DLF at the Competition Commission of India, where mighty DLF was penalized Rs 630 crores.

  • FIRs against builders are no big deals now-a-days, with FIRs being filed by the Police against Unitech, Emaar-MGF, Era/ Adel Landmarks, Vigneshwara, Pal Builders, SKM, etc. Police have even arrested builders like Sunil Dahiya of Vigneshwara and Hem Singh Bharana of Era/Adel Landmarks.

The crux of the matter is that Raheja Developers is forcing buyers to take possession of apartments in projects that are incomplete and unsafe. The buyers are also being denied delay compensation, and are being saddled with escalation costs, increased super area, and many other additional charges. Now many buyers are putting their foot down, and are hauling the builder over coals. These buyers are poised to extract compensation from Raheja Developers that may be in excess of Rs 200 crore per project. Like a rat on a dissection table, the work of Raheja Developers is being analyzed in fine detail, and an air-tight case being built against the builder. The knowledge gleaned from this meticulous exercise can be used by buyers suffering at the hands of other builders, as many of the crimes of Rahejas are the standard stock of the Real Estate Sector.

We bring you this story at great personal risk. Rahejas have already filed a case against us at the Delhi High Court for writing against them. They have also filed a complaint against us with the Gurgaon Police to prevent us from writing, and to remove everything that we have written against them from the world wide web. And, most probably unconnected to Rahejas, our car was stolen last month from right outside our office. We have filed an FIR for that. We have also filed a police complaint, that will hopefully get converted into an FIR,  against unknown persons for cybercrimes, hacking, and destroying some of our articles and videos about Raheja Developers. 

TABLE OF CONTENTS

 

1. THE TALE OF THE FAKE FIRE FITNESS CERTIFICATE

The two (2) page letter of objections from the Fire Department to Raheja Developers is the lynchpin of this explosive tale. In understanding what it says, and what it implies, lie the keys to the palace of illusions built by Rahejas. The letter may have implications to the tune of Rs 500 crores for Rahejas, affecting everything from the delay compensation to punitive damages to be paid by the builder.
Fire NOC renewal denied to Raheja Developers for their project Raheja Vedaanta in Gurgaon. Builder is forcing buyers to take possession of these incomplete and unsafe apartments.

Fire NOC renewal denied to Raheja Developers for their project Raheja Vedaanta in Gurgaon. Builder is forcing buyers to take possession of these incomplete and unsafe apartments.

Page 2 of the Objections by the Fire Department to  the renewal of the FIRE NOC in Raheja Vedaanta, Gurgaon.

Page 2 of the Objections by the Fire Department to the renewal of the FIRE NOC in Raheja Vedaanta, Gurgaon.

When questions were raised about the validity of the Fire & Occupation Certificates, Mr Navin Raheja was brazen about it. He challenged buyers to get them checked anywhere, and told them to be ready to face dangerous consequences when the allegations were shown to be wrong. The allegations did not turn out to be wrong. And they raise serious question about how perverted can a man becomoe to ignore the safety of his own buyers.

The letter of objections from the Fire Department about Raheja Vedaanta raises some serious issues. A similar letter is expected on Raheja Atharva, but the matter is currently stuck for the last 3 weeks at the desk of Mr Ravi Sihag. https://app.box.com/s/wzpxik6x7wc4g0vbv9i0f5fyfqxmi7vf The first bombshell is that FIRE NOC for Raheja Vedaanta & Raheja Atharva has already lapsed, and Rahejas have not yet even bothered to apply for renewal in both the projects of Atharva & Vedaanta. This is despite the fact that Rahejas have handed over possession to some apartments, and around twenty families (of the total approx 1200 apartments) are already living there in unsafe conditions.

Even if Rahejas were to apply for a renewal of the FIRE NOC, there are some really tough conditions they have to meet. Amongst them:

  1. Missing Connecting Roads to the Vedaanta & Atharva complexes! In the drawings that Rahejas submitted there are supposed to be 12m wide road to Vedaanta, and 24m wide road to Atharva (though 2 Karam road is provided inexplicably in Town & Country Planning licence). But, in reality, there are only 3m (or 11ft) Kuchha roads! Without the road how are Fire Engines supposed to reach into the complex if a fire breaks out, and these minimum road widths are specified in the NBC Building Guidelines. The acquisition of the land and development of the roads is the responsibility of RAHEJA DEVELOPERS, and not the responsibility of HUDA (Haryana Urban Development Authority) as Mr Navin Raheja has been ranting recently. So, the first question is was the Fire certificate obtained despite this violation, and further how was the Occupation Certificate obtained? And why has Mr Raheja not developed the roads so far?
  2. There is a gas bank in Atharva which has not been approved !! https://app.box.com/s/ke4ffg1r4wivc9xm339cj95w4jjo6gym and video of the top Fire Official denying that there was any approval for the LPG gas bank here https://app.box.com/s/bjtodqhm47dhtoe3rl0zxeff5yhckswz Imagine a safety hazard of LPG Gas cylinders stacked together ….
  3. In Atharva and Vedaanta there were supposed to be 5,00,000 liters underground static water storage tanks, but only 1,50,000 liter tanks were found during the inspection. This capacity is inadequate to deal with serious emergencies.
Instead of providing 5 lakh liter underground static water storage tanks, Raheja Developers has only provided tanks of capacity 1.5 lakh liters.

Instead of providing 5 lakh liter underground static water storage tanks, Raheja Developers has only provided tanks of capacity 1.5 lakh liters.

An RTI response has revealed that the safety hazard and ticking bomb of  a LPG Gas Cylinder Bank was constructed by Raheja Developers in the Athrava & Shilas complex without any approval.

An RTI response has revealed that the safety hazard and ticking bomb of a LPG Gas Cylinder Bank was constructed by Raheja Developers in the Athrava & Shilas complex without any approval.

The rest of the letter of Objections by the Fire Department essentially recounts that the projects is suffering from serious deficiencies, and is a safety hazard.  The FIRE NOC of Raheja will not be provided until Rahejas either make the road, or give an acceptable timeline to the complainants; which given the proclivity of Navin Raheja looks to be a long stretch.

In essence, the Raheja & Atharva projects (and Shilas, Vedas, Vedaanta Floors) are nowhere near completion, and the Occupation Certificate has been obtained by corrupt means. The demands of tens of crore rupees that were raised by Rahejas at the “Receipt of Occupation Certificate” milestone are illegal and wrong. It was a mischievous fraud played by Rahejas on their buyers. On top of it, Raheja may have committed perjury in the Courts of Justice by intentionally providing incorrect information that they knew to be false.

There is pattern of Raheja Developers playing with the safety of  the residents in their projects. In July 2009 there was a fire in the Atlantis apartment of Mr Netaji. Then in March 2013 there was a gas blast in the house of Mr Chander in Raheja Atlantis. http://comments.gurgaonscoop.com/2014/05/15/is-your-money-safe-with-builders-indulging-in-criminal-disreputation-management/ Then in June 2015 there was a fire in the Raheja Shilas apartment of Mr Sridhar. https://www.youtube.com/watch?v=t79OxjOBDWk In all cases there fire fighting systems were found to be deficient, and the staff was ill-trained to handle fire emergencies.

21072009502Damage in E41 by fire in Raheja Atlantis 01

Fire in Raheja Atlantis, Gurgaon Apartment in July 2009.

Damage in E41 by fire in Raheja Atlantis 04

Fire in Raheja Atlantis, Gurgaon Apartment in July 2009.

Damage in E41 by fire in Raheja Atlantis

Fire in Raheja Atlantis, Gurgaon Apartment in July 2009.

Damage in E41 by fire in Raheja Atlantis 02

Fire in Raheja Atlantis, Gurgaon Apartment in July 2009.

Poor  and shoddy quality construction in Raheja projects has endangered the lives of the residents. The gas pipes laid by Rahejas corroded and exploded in 3 years - ten years earlier than expected.

Poor and shoddy quality construction in Raheja projects has endangered the lives of the residents. The gas pipes laid by Rahejas corroded and exploded in 3 years – ten years earlier than expected in Raheja Atlantis, Gurgaon.

Raheja Case LPG blast damage

Gas blast in Raheja Atlantis, Gurgaon in March 2013.

The apartments in Raheja Atharva, Raheja Shilas, Raheja Vedaanta, Raheja Vedas, and Raheja Vedaanta Floors are tragedies waiting to happen. It is possible that Mr Navin Raheja may be be booked under IPC 336 and 34, and also under Sections 31 and 32 (1) & (2) of the Haryana Fire Act of 2009. According to the IPC Act 336, Whoever does any act so rashly or negligently as to endanger human life or the personal safety of others, shall be punished with imprisonment of either description for a term which may extend to three months, or with fine which may extend to two hundred and fifty rupees, or with both. These sections also anticipate conspiracy of various officers in these Acts endangering life or personal safety of others.

      • What role did the CRM department and Ms Jyoti Anand have in misleading the buyers.
      • And what role did Marketing Manager, Mr Harinder Dhillon, have in mis-selling these projects.
      • What role did the GM of Corporate Communications, Ms Dimple Bhardwaj, have in misguiding the media and public about such acts.
      • Who are the other people in the company who have played an active role in deceiving the buyers , media, and the govt authorities.

 

q08 behind every great fortune Despite an avalanche misdeeds descending upon Rahejas, instead of backing down they are becoming more and more brazen – and virtually extortionists. Recently, Rahejas have raised demands of Rs 15-20 lakhs each from over 1200 buyers in Vedaanta and Atharva. That amounts to Rs 180+ crores over and above what the buyers had catered for! With over Rs 70 lakhs to 1 crore already paid to Rahejas by the buyers, these new demands on increase of Super Area and Escalation costs are nothing but extortion. As Jeevan Prakash Sharma writes in his article on the Super Area Racket that “It’s nothing short of extortion,” and the applicable Indian Penal Code for that is IPC Section 383. Compare the Rs 180 crore amount to the extortion amounts demanded by dreaded gangsters like Neeraj Bawania and Vikas Lagarpuria, and you will see that Mr Navin Raheja is effectively the betaaj badshah of jurm ki duniya.  A-Super-Area-Racket-Hindustan-Times-01-Nov-2014-1024x812

Somewhere in the quest for big money and great fortunes people lose their humanity, and so it seems has happened to Mr Navin Raheja. There are tragedies waiting to happen in the Raheja projects. As the Fire NOC won’t be renewed any time soon, what will happen to families that Raheja Developers have misled and deceived into taking possession. Some have already started living in the unsafe and incomplete apartments.

How can you explain Mr Raheja sending people to live in homes that are unsafe and incomplete. Where the fire safety equipment is defunct. Where help cannot each on  a 3m kuchha road in emergencies. It is beyond being selfish. On the slippery slope, beyond a certain point, people who think of other people as objects can indulge in very narcissistic and dangerous behaviour. “The dark side of self-obsessed fraudsters is that they see other people as objects,” Ms Frankel is quoted in an article in the Economist on the “Biggest Fraud in History.” http://www.economist.com/news/christmas-specials/21568583-biggest-fraud-history-warning-professional-and-amateur-investors “It is not that they consciously ignore others’ feelings, as selfish people do; rather, others do not figure at all. This is what makes narcissists such as MacGregor really dangerous. He showed no concern for his settlers. They were merely an extra source of funds …”

Over a few short years, esp after the launch of Raheja Atlantis in 2004, the broke and self-confessed failed scooter dealer has risen to a position of immense personal wealth. In addition, for the future they have  in hand “executable and sanction projects over 60 million sq. ft. & with projects spanning over 900 acres of land at various stages of deliberations” (see www.raheja.com/company-profile.asp) In other words, Mr Navin Raheja is stinking rich. At even a conservative estimate of Rs 1000 psf profit margin in future projects, from the 60 million sqft in hand he is looking at profits in excess of Rs 6000 crore, and cash flow many times more, and plus plus more. Then is the even larger income from the 900 acres of land in “various stages” of deliberation. And all of this by “ghoomaing topi” from one person to the other, and using OPM. (Other Peoples Money) The wedding of Mr Navin Raheja’s son, Nayan Raheja, was the event of the town in Jan 2013. http://photogallery.indiatimes.com/events/delhi/nayan-kashishs-wedding-ceremony/articleshow/18161792.cms The extravagance and excesses of the wedding were flaunted on the website http://www.nayankashish.com, and also published in the Raheja Developers newsletter called Raheja Impressions. The website has thankfully been shutdown, but an archive of the site is still available at https://web.archive.org/web/20130823152434/http://www.nayankashish.com/ Another website that has been shut down by Raheja Developers is http://www.rahejasez.com At one time this 5000+ acres of SEZ thing was supposed to to be the ultimate money making machine, (see an archive here https://web.archive.org/web/20121010105944/http://www.rahejasez.com/ ) but it all lies in ruins today. 

The Raheja SEZ is dead, and so is the site http://www.RahejaSEZ.com

The Raheja SEZ is dead, and so is the site http://www.RahejaSEZ.com

Another dead project in ruins is the vanity-named ‘Navin Minar will be iconic’ (three times the height of the ancient architectural wonder Qutub Minar) (http://www.millenniumpost.in/NewsContent.aspx?NID=18491 archived here https://archive.is/yRVQc ) that was supposed to come up at the site of the Kathputli Colony. Six years ago in 2009, Mr Raheja made big & outlandish claims (https://www.youtube.com/watch?v=lX2x9tcsCkU ), but even today in 2015 no work has started on his “ICONIC” Navin Minar.

Announced with great bluster in 2009, and already winner of many "awards," work has not even started on the "Navin" MInar, named after "Navin" Raheja.

Announced with great bluster in 2009, and already winner of many “awards,” work has not even started on the “Navin” Minar, named after “Navin” Raheja.

Despite these high profile failures, the bluster of Rahejas has still not gone. Mr Nayan Raheja claimed on April 06, 2015 on CNBC – TV18 that the Revanta project will be complete by June 2016 or latest by December 2016. http://www.moneycontrol.com/news/real-estate/prime-property-penthouse-at-rs-100-crore_1349850.html A realistic date is 2020 or 2021 based on their track record so far. 

Raheja's marketing agency Decomplex advises "publicity stunts" rather than the real thing.

Raheja’s marketing agency Decomplex advises “publicity stunts” rather than the real thing.

In addition to unrealistic bluster, Rahejas have gone a step further into pulling publicity stunts; no doubt encouraged by their new marketing agency Decomplex.  http://www.exchange4media.com/advertising/decomplex-marketing-bags-creative-mandate-for-raheja-developers_61010.html On it’s home page Decomplex recommends “Publicity Stunts,” and in the Revanta video above, the publicity stunt was to price one penthouse at Rs 1,00,000 per sqft, compared to the rest which were priced at an average of Rs 8,000 per sqft. Watch the video to see the lame excuses that Nayan Raheja gives to the anchor about the pricing rationale here http://www.moneycontrol.com/news/real-estate/prime-property-penthouse-at-rs-100-crore_1349850.html

Moneycontrol video of the ridiculous "publicity stunt" of Rahejas to price one penthouse of Revanta at Rs 100 crore.

Moneycontrol video of the ridiculous “publicity stunt” of Rahejas to price one penthouse of Revanta at Rs 100 crore.

Publicity stunts are also pulled by La Sagoreeka with whom Rahejas have a tie up for furnishings in their Raheja Ayana project. In a “bizarre marketing gimmick” a gold plated Lamborghini car was driven on to a 22 seater dinner table. The aim was to advertise the dinner table! http://gulfnews.com/xpress/dubai/life-style/dinner-anyone-1.1519097

But all these publicity stunts of Decomplex are just trying to put lipstick on a pig. You can’t cover you problems with farcical answers like the “Fire Drill at Atharva” https://www.youtube.com/results?search_query=fire+drills+atharva or “Fire Drill at Vedaanta” https://www.youtube.com/watch?v=uvEzpm137tQ to address the serious questions about the FIRE NOC.  Look at the poor quality of this video and compare it to the rest of their “marketing” videos; it just goes to show how much attention they pay to safety.

Raheja Developers' marketing efforts are like putting lipstick on a pig.

Raheja Developers’ marketing efforts are like putting lipstick on a pig.

A better video at showing the situation of the FIRE NOC in Raheja Atharva & Shilas was done by India News TV Channel. They had interviews with the DTP, Buyer, and Raheja Employee. They showed the inspection of the fire fighting systems and equipments in the Raheja complex, and found them to be non-functioning on-camera. In approx four minutes of video by Yogendra Bhaduria of India News (Metro News) the ground reality is captured well. Kudos to them for the effort. But, surprisingly this important story was not picked up by any of the major print newspapers, or even other electronic channels. The story is not small, it is just inconvenient. It is inconvenient story for the likes of Hindustan Times & Times of India who take large amounts of advertising and sponsorship money from the builders (who in turn take it from the buyers!) One should not be surprised by the continued silence Bureau Chiefs of the likes of Messrs Sanjeev Ahuja (HT) & Rao Jaswant Singh (TOI), but to hear them write about how buyers are “happy” in areas with no amenities, unfinished buildings, and creeky infrastructure is just SURREAL.  A recent article by Sharmila Bhowmick in Times of India “No amenities, but the first movers in Noida’s new sectors are happy” is jaw dropping. http://timesofindia.indiatimes.com/city/noida/No-amenities-but-the-first-movers-in-Noidas-new-sectors-are-happy/articleshow/48322530.cms Really, have these papers fallen so low to please their advertising and pocket-money masters – the builders?

One of the Surreal articles that the mass print media is pushing at buyers. No amenities, but the first movers in Noida’s new sectors are happy

One of the Surreal articles that the mass print media is pushing at buyers. No amenities, but the first movers in Noida’s new sectors are happy

What Sharmila Bhowmick writes in Times of India needs to be so quoted extensively, because the word “happy” is so jarring with what she describes.

No amenities, but the first movers in Noida’s new sectors are happy – Times of India – by Sharmila Bhowmick

 

NOIDA: Sonia, a 35-year-old working woman, recently moved to an apartment of her own in Noida’s Sector 78 from her rented home. At 8 in the evening, when she drives back home from her workplace in Delhi, the roads are pitch dark. Outages being common, after sunset, lights in her housing society depends on power backups. Though there are security guards, but with only two or three occupants in her building, which is still under construction, the evenings are eerie
Sonia keeps a list of phone numbers handy, just in case she needs to call a friend in case of an emergency since the entire area wears a deserted look. But despite the risk, she is happy to be living the way she does as she is finally saved from the burden of paying both rent and EMI.
Like Sonia, there are many desperate homebuyers who are increasingly taking up the option of moving into half-ready apartments in Noida’s new sectors, in an arrangement that the builders term as a ‘fit-out-basis-occupancy’. The electricity connection is tentative, so are most other amenities.
The condition outside the housing complex is even worse. The roads are still being constructed. Once you drive a bit further into the deeper ends of Sector 77 or 78, the roads turn into muddy trails, though you can see blocks of apartments ready from a distance. There are about five to seven builders who have invested in these sectors, with the number of flats built so far being around 5,000.
Nobody knows when these areas are going to become developed. “There are some buyers who come and insist they will live in their flats even in such conditions, so we are handing them over their flats after getting them to sign a ‘no-objection’ letter. Nothing is really fully functional, everything is makeshift. But we hope that within the next two years, the apartments will all be occupied,” said Himanshu Goswami, an assistant sales manager at Antriksh Apartments.
“Honestly, these sectors do not even look like they are a part of Noida. They look like some rural township. The roads haven’t been made and the development is shoddy,” Amit Jain, director of Mahagun Builders, said. So far, even as most apartments are chugging towards completion, the roads are potholed, the streetlights absent, markets haven’t taken off, medical facilities too are far off.
But the residents of these ‘fit-out’ apartments are beginning to find a way to manage in the chaos. “At least we now have our own flats to live in and are not having to pay rent, but it feels really unsafe how the construction work is still on, half the buildings are not lit with barely any occupancy. Despite such conditions, people are moving in to live,” said Rakhsha Thripati, one of the residents in Sector 78.

With the mass print media on its knees in front of the builders, Raheja has no one to show him his true face. The media is busy publishing his ads and ridiculous advertorials which are full of bluster, lies, and falsehoods. A recent advertisement by  Raheja Developers in Times Property is trumpeting – “Impeccable Record of Quality And Delivery” which is a lie, and so is “Projects Ready For Delivery” a LIE. “Marvels In The Making” are actually disasters in the making, and tragedies waiting to happen.

A Supplicant Media That Prints False and Misleading Advertisements Like from Navin Raheja Led Raheja Developers  Have Caused A Crisis in Confidence in Real Estate - And Consequently its Crash

A Supplicant Media That Prints False and Misleading Advertisements Like from Navin Raheja Led Raheja Developers Have Caused A Crisis in Confidence in Real Estate – And Consequently its Crash

Articles published in HT Estates like “Raheja Developers starts delivery of over 1,000 apartments on Dwarka Expressway” https://archive.is/YWR82  and “Raheja builds a floor in just five days at Revanta in Gurgaon” https://archive.is/HXyTA are just ways in which print media is helping Rahejas Developers fool more and more buyers. Builders like Raheja Developers are getting a lot of help from their friends in the mass print and electronic media.

2. WITH A LITTLE HELP FROM THE PUBLIC-SERVANT FRIENDS

The major source of Mr Navin Raheja’s feeling on invincibility has been the help extended to him beyond the call of duty by the public servants, esp during the Bhupinder Singh Hooda raaj. This combined with an obsequious media provided the fuel for his spectacular rise to immense riches. Buyers have made direct allegations against Mr Anurag Rastogi, IAS, for providing undue pecuniary benefits to Mr Navin Raheja & Raheja Developers by providing false & premature Occupation Certificates. This has been a pattern of Mr Rastogi, wherein Occupation Certificates were provided to Atharva, Vedaanta, and even DLF Express Greens even though the projects were certifiably incomplete – and remain so even a year later …

False and Premature Occupation Certificates were given by Mr Anurag Rastogi, IAS, in the DLF Express Greens project in Manesar.

False and Premature Occupation Certificates were given by Mr Anurag Rastogi, IAS, in the DLF Express Greens project in Manesar.

False and Premature Occupation Certificates were given by Mr Anurag Rastogi, IAS, in the Raheja Vedaanta project.

False and Premature Occupation Certificates were given by Mr Anurag Rastogi, IAS, in the Raheja Vedaanta project.

q08-Raheja-Illegal-OC-NBT-artilce-of-Anita-Yadav-investigation

False & Premature Occupation Certificates given to incomplete Raheja Projects without basic facilities.

False & Premature Occupation Certificate given to Raheja Shilas.

False & Premature Occupation Certificate given to Raheja Shilas.

After Mr Rastogi provided false Occupation Certificate to Raheja Atharva in June 2014, Mr Joe Saggar, a Raheja Vedaanta NRI buyer based in UK, wrote many emails to Mr Rastogi about the problems. Mr Rastogi ignored all the emails, and went ahead to give another false Occupation Certificate to Raheja Vedaanta in November 2014. Mr Saggar then went to meet Mr Rastogi in Chandigarh in December 2014 to apprise him of the problems with Vedaanta, but Mr Rastogi left office without meeting him, even though Mr Saggar had a confirmed appointment with Mr Rastogi. Mr Rastogi was transferred out of DGTCP in Feb 2015, but not before he had done considerable damage to thousands of buyers. And he had benefited builders to the tune of thousands of crores. Mr Anurag Rastogi’s case seems to be a fit case for investigation by CBI and Vigilance. If Mr Raj Singh Gehlot of Ambience Infrastructure could be charged by CBI (Central Bureau of Investigation) under Prevention of Corruption Act for collusion with public servants, why not Mr Navin Raheja. See http://timesofindia.indiatimes.com/city/delhi/SC-notice-to-Ambience-chairman-Gehlot-for-VV-illegal-construction/articleshow/47918709.cms In Gurgaon, the District Commissioner Mr TL Satyaprakash was recently seen launching the “Gurgaon Arbitration Council” for resolving builder-buyer disputes, with Mr Navin Raheja by his side.

Gurgaon Arbitration Council with Mr Navin Raheja (as representative of over 100 builders), DCP, MCG Commissioner,and District Commissioner. If you let in the wolves to guard over the sheep, will the sheep be safe?

Gurgaon Arbitration Council with Mr Navin Raheja (as representative of over 100 builders), DCP, MCG Commissioner,and District Commissioner. If you let in the wolves to guard over the sheep, will the sheep be safe?

The problem with GAC is that the DC is abdicating his responsibility by outsourcing the dispute resolution to the builder lobby of Mr Navin Raheja and REDCO (another builder lobby). How can builders against whom complaints are being filed sit on the very same panel which is supposed to act on the complaints? See a longer analysis here http://comments.gurgaonscoop.com/2015/07/16/gurgaon-arbitration-council-gac-ombudsman-a-trapdoor-or-trapdoor-forbuyerso/

Around the same time the Honorable Chief Minister also launched the Allottees Grievances Redressal Forum (AGRF)” which was to have only Govt officials at the district level as it members. This is the correct approach as it keeps the builders out of the Redressal Forum. And, that is why it is inexplicable as to why Mr Satyaprakash has decided to merge the CM’s AGRF with his GAC, thus providing back-door entry to the builders into the Redressal Forum – and effectively defeating the very purpose of the CM’s constitution of the AGRF. 

Actions like these by the Executive branch of the Govt have led buyers to lose faith in them. Even the Legislative has failed the buyers as the drafting of laws to protect them seem to be in a perpetual limbo. Thus, two out of three pillars of democracy have failed the buyers. Even the fourth estate, or the media has failed the buyers. The only ray of hope has been from the third pillar of democracy – the Judiciary.  The Consumers Disputes Redressal Commissions, and the courts, have recently give some precedent setting judgements in favour of the aggreived and harrassed buyers. That is probably why over 600 Raheja buyers, of Atharva, Vedaanta, Navodaya, and Atlantis have filed 25 cases against the developer in the National Consumer Disputes Redressal Commission.

Twenty five (25) cases by over 600 buyers are listed against Raheja Developers at the National Consumer Disputes Redressal Commission.

Twenty five (25) cases by over 600 buyers are listed against Raheja Developers at the National Consumer Disputes Redressal Commission.

3. UNDER THE LENS AT THE NCDRC & OTHER COURTS

It has now become viable option to approach the Consumer Courts in disputes against the builder. A new breed of lawyers who are well versed in real estate issues is emerging, and the fear that they will be compromised by the well funded builder has also been mitigated. When you have 50 buyers coming together to file a case, the fees of the lawyer can be split amongst the members. Some of the cases against Raheja Developers started with each buyer pooling as low as Rs 10,000 each. From a cost vs. benefit analysis it makes sense to go for a legal battle. The buyers in the Raheja cases stand to benefit to the tune of Rs 15-20 lakhs each, and the original allottees of 2007/2008 stand to benefit to the tune of Rs 40 to 50 lakhs each. This is the scale of misdeeds of Navin Raheja led Raheja developers (no relation to the famous Raheja clans from South India). Today, it is not unreasonable for buyers to put Rs 50,000 to Rs 1,00,00 each to create a great war chest, given the potential benefits of fighting the builder to get their fair dues. When a buyers organization has Rs 1 to 3 crore in its kitty, it can take on the baddest of the builders.

    • One low hanging fruit if the project is inordinately delayed, or the work on it has stalled, or the Agreement is too lop-sided in favour of the builder, is to seek compensation at parity with what the builder charges when the buyer defaults. There is enough precedence that the courts will set the one-sided Builder Buyer Agreements and award the aggreived buyer 18% yearly compensation if they want to exit the project, or 12% yearly compensation for delay if they are willing to accept delayed possession. See the relevant important National Consumer Commission Judgements are here https://app.box.com/s/nyyc6nel8o3lmzaem5wp5r2v4l8107rw You can search for other relevant judgements at http://cms.nic.in/ncdrcusersWeb/search.do?method=loadSearchPub  and the current cases here. http://cms.nic.in/ncdrcusersWeb/login.do?method=caseStatus Everything that a smart consumer needs today is at his/her fingertips. Don’t hesitate to ask us for help if you need some.
  • There is also a strong case that the money paid for parking may have to be refunded by the builders if challenged in the courts. This aspect needs to be tested in the courts, and there is a very good chance that it will found to have been illegally charged. That itself is worth Rs 4 to 6 lakhs per buyer.
  • Another good benefit of suing the builder is that the project deficiencies can be minutely identified, and either the builder will have to bring them into compliance, or they will have to pay adequate compensation to the buyers.
  • Then there is the future issue of increased FAR (Floor Area Ratio). If this gets increased, then on the same plot of land a higher number of apartments can be built in the future – either number of towers will increase or the number of floors per tower will increase. This will soon become a battle point between the builder and buyers. It has to be legally tested as to who will own the extra FAR – the buyers or the builders. There is a chance that the FAR may be increased along the metro corridor of NPR (Dwarka Expressway or Northern Peripheral Road) & SPR (Golf Course Road Extension or Southern Peripheral Road) as it has happened in Delhi recently.

There is also a strong case to file lawsuits against Raheja Developers. Their Builder Buyer Agreements reek of bad faith and ill intent. There are submarine clauses that the builder is now exploiting. There are unilateral and bad faith interpretations by the builder of the patently unfair Builder-Buyer Agreements. Further, the builder has underperformed on the design and promised specifications, and is extorting unreasonable charges from the buyers. The builders actions are mischevious and all about abusing an unequal relationship where buyers have already paid over 90% of the greed cost of the property.

Last year, 5 Raheja buyers got together and decided to file a case in the National Consumer Commission. By the time the case was filed in July 2014, the group had grown to 43 members. It is this case 250 of 2014 that got the snowball rolling, and within the span of 1 year, over 25 cases have been filed at the National Consumer Disputes Redressal Commission. Their story was covered the Mint Newspaper recently about how the buyers were unwiling to take possesion of incomplete and unsafe buildings.

Mint had earlier covered Raheja projects in 2009, and the issues were similar. http://www.livemint.com/Companies/igXXjgecbLf47Yd4fiEnEM/Real-estate-companies-face-ire-as-homebuyers-band-together.html There the buyer mentioned in the 2009 article was Nitin Goel, who eventually did file a case against Rahejas in Mumbai. I flew to Mumbai at his request and submitted an Affidavit against Rahejas in his case. Interestingly, the first party in Mr Goel’s case was, not Rahejas, but Anuj Puri and Raminder Grover of Jones Lang LaSalle (JLL). He had booked his Raheja Vedaanta apartment through them, after being misled into believing that this was the Mumbai Raheja. Further, JLL misguided him about the construction status. JLL also moonlights as a broker for builders such as Rahejas, as you can see here https://www.jllresidential.co.in/PropertySearch.aspx

We also faced JLL in the CCI versus DLF case in 2011. https://www.rebelmouse.com/ccivsdlf/ The real story of how Jones Lang LaSalle caused the massive defeat of DLF in the Competition Commission of India (CCI) still needs to be told. They created a report based on fake numbers and questionable theories which we destroyed at the CCI. Once DLF had submitted the flawed JLL report the damage could not be undone. The flawed JLL and Genesis reports that eventually led to DLF losing the case are with us and can be shared on request. Our evisceration of their flawed reports, that led to the landmark judgement against the biggest builder in India is pages 4 through 10 here. http://www.scribd.com/doc/57893914/DLF-vs-Belaire-Park-Place-Owners-Report-by-Qubrex-Submitted-to-CCI-Competition-Commission-of-India-Final-Report-May-08-2010-Completed-Projects#scribd

Excerpt of our report in favour of the buyers of DLF Park Place & Belaire. We destroyed the report that Jones Lang LaSalle has presented in favour of DLF, and was one of the major reasons why DLF lost this landmark case in Competition Commission of India. DLF was penalized Rs 630 crore by CCI.

Excerpt of our report in favour of the buyers of DLF Park Place & Belaire. We destroyed the report that Jones Lang LaSalle has presented in favour of DLF, and was one of the major reasons why DLF lost this landmark case in Competition Commission of India. DLF was penalized Rs 630 crore by CCI.

The case of Mr Nitin Goel was eventually settled out-of-court, to the satisfaction of Mr Goel. This settlement out of court after a bruising fight was the pet strategy of Navin Raheja so that there were no fingerprints of his losses in the legal system. That way in case after case he could position himself as a blemish-free builder who was being tormented by the few greedy complainants. This Raheja strategy worked till the Wg Cdr Alok Verma & 43 Others filed the case in July 2014, after which there was no turning back to the black mark on his reputation.

The issues of Raheja Developers in the National Consumer Court are many. The impact of these on the buyers pockets is huge, and if the buyers win each could collect tens of lakhs in compensation.  Many of these issues currently in the consumer court, also do invoke many IPC sections that can be pursued in criminal courts. Some issues are:

  1. Delay compensation penalty is being denied. Raheja conducted a fraud poll, and then claimed that majority of the buyers did not want possession in 2011, and so they claimed to have slowed the finishing work on the residential apartments. What a cock and bull story. Rahejas were trying to avoid paying even the paltry Rs 7 psf per month penalty they had committed in their Builder Buyer Agreement (amounting to 2-4% per annum for most buyers), and now they may end up paying 12-18% per annum in compensation based on a reading of recent NCDRC judgements.
  2. Super Area has been increased by approx 11%. And the escalation charges of 15% are being demanded. Calculations done by one of the buyers, Mr Joe Saggar, show that actually the prices of input fell 7% during the time period when Raheja Developers claim to have constructed the buildings. Thus, the combined effect is a 27.6% increase in the price of the apartment has no basis in reality – it is a figure pulled out from the thin air like a Magician. But, always remember, that behind the Magician’s apparent “magic” is deception, distraction, and a sleight of hand.
  3. Even though the buildings are incomplete and unsafe, and not fit for possession, Rahejas are trying to charge “holding charges” of Rs 5 psf per month till the time the buyer takes possession. How more Kafkaesque could the Raheja World become.
  4. Club charges (Rs 50,000 to 1,00,000) are illegally imposed for the use of a “Community Center,” and according to RTIs even the parking charges are illegal.
  5. Then is the whole drama of overcharging on things like electric meters, AC ducting etc. All these adhoc charges are a rip-off by the builder, and need to be stopped in the Consumer Court.
  6. Stamp Duty charges were collected from many buyers over a year ago, and Rahejas have been illegally holding and earning interest on it. According to the District Commissioner’s letter, he was to immediately refund it with interest, which has not been done in many cases.
  7. All this network of interconnected scams, and the technical issues of plans, changes, costing, and billing will be argued threadbare in the National Consumer Commission.

The buyers hope to stop this loot in the National Consumer Commission, and chances are they will. But they are only approx 300 strong. Around 1700 of the approx 2000 buyers are unaware of the Raheja cases in Atharva, Vedaanta, and Navodaya, and are being fleeced.

In absence of widespread dissemination of this knowledge of the cases, Raheja Developers is persisting with the extortionary demands, and betting that buyers not directly involved in the case, or far away, will not come to know about anything, and will succumb to their demands. Most of the unaware buyers will pay up and be losers. Many will lose out on lakhs of rupees of their hard-earned money that they deserve to keep. If only they could get to know about these ongoing cases against Navin Raheja & Raheja Developers.

The best way, and society’s answer, to reach a large audience is the mass print and electronic media. But, the current mass media is letting down all these buyers. Media is betraying the trust reposed in the newspapers and TV channels as the Fourth Estate of Democracy.

The Bureau Chiefs of Hindustan Times and Times of India are keeping silent, and helping Raheja in the process. Their media has let everyone down. No wonder the newspaper sells to the kabadi (scrap dealer) at a higher cost for the paper it is printed on, than it costs to buy the printed daily newspaper. Printing news (or un-news) on the paper seems to actually diminish the value of the paper.

4. FAILURE OF MASS PRINT & ELECTRONIC MEDIA

The silence of the media in relation to the legal cases of Mr Navin Raheja and Raheja Developers is deafening. Is it not the responsibility of the media to inform the public about the things important to them.

There are thousands of buyers who are stakeholders in Raheja properties, and the legal cases are important for them.These property owners might lose lakhs of rupees by the correct information not reaching them. Even buyers in other properties should be informed so that they can apply some of the learnings in their own projects, and in dispute resolution with their builders.

And the crimes and misdemeanors of Navin Raheja and Raheja Developers are newsworthy too. More so because Mr Navin Raheja is the Chairman of NAREDCO (National Real Estate Development Council), and is a role model to other builders. Further, the stakes are very high running into hundreds of crore Rupees.

Yet the Bureau Chief of Hindustan Times & Times of India are strangely silent on the Raheja story. They seem to be happy reporting under their bylines the formation of the ridiculous Gurgaon Arbitration Council featuring Mr Navin Raheja, and yet are unable to write even a square inch against robber barons like him. And though the TV channels run to get Mr Navin Raheja’s sound bites, generally in his capacity as the Chairman of NAREDCO, they are strangely tongue-tied about his activities as Managing Director of Raheja Developers. There are a few good journalists, but most of the time their story gets killed at inception itself, or at the copydesk. To quantify this bias towards colored-truth, someone should do an analysis of the positive, future-oriented, and advertorial articles written for the builders in these two papers, versus the factual, informational, and negative news. We did not arrive at the low situation in real estate overnight, by we are willing to bet that none of that downward journey is reflected in the Gurgaon pages of either HT or TOI.

It is also not that the Bureau Chiefs are not aware of these important stories about Raheja. Their email boxes are choked with complaints from aggreived buyers, and unless the live like ostriches the stories are all around them too. The reason probably is that they make money (for the paper) by printing some news, and they also make money by ignoring some news. And that is how they have it their way, both ways.

But with or without the support of these “mass media” journalists, the Raheja buyers will overcome. After all they found each other to file hundreds of cases against Raheja developers. And, even the biggest victory of buyers in the DLF and CCI case happened without the help of the mass media. The media just played catch-up after the giant was felled. And, if the DLF Belaire and Park Place case has faded from the public consciousness, it is because those Associations decided to focus only on the legal process. If all you have is a hammer, every problem seems like a nail. Compared to their approach, the approach of the Raheja buyers is emergent, and is spreading to every platform – consumer, civil, criminal, EOW, Embassies, HUDA, Vigilance, Police, Fire Dept, DTCP, and CM, PMO, and Ministers.

5. RAHEJA – A FIT CASE FOR CRIMINAL COURTS 

Monetary fines in the Consumer Courts are not a deterrent to a builder like Raheja Developers. The money to be paid to some is always extracted / extorted from the remaining buyers. Even if Mr Navin Raheja realizes that he is batting on a weak wicket at the NCDRC, and is preparing himself to pay an average of Rs 30 lakhs to each of the 100 litigants, he is simultaneously busy extorting about 15 lakhs each from the remaining 300 buyers. So, at the end of the exercise he would have received Rs 45 crores, and paid out Rs 30 crore, coming out ahead by Rs 15 crore !! And, if the judges at the Consumer Court are a little lenient to him, he would come out ahead by more than Rs 15 crores!!

Anticipating the non-deterrence of monetary fines, the proposed Real Estate (Regulation and Development) Bill proposes jail terms for builders like Raheja Developers. The actions of the builder may not have resulted in visible spilling of blood, the acts are criminal nonetheless. And other company officials can also be made accountable under IPC Sections 34 and 120B.

FIRs and Jails for builders have been in the news recently. FIRs have been filed against Unitech, Emaar-MGF, Era/Adel Landmarks, SKM, Pal Builders, etc and MDs from real estate companies like Vigneshwara, Era/Adel Landmarks, Pal Builders, etc have also landed in Jail.

A lot of actions by Raheja Developers are also serious offences. And if a few honest public servants would look at the activities of this builder, there is a huge list they can begin with.

  1. The genesis of the projects like Atharva and Vedaanta itself was illegal, amounting to prelaunches and soft launches. The license issued by the DGTCP stipulates that no soft launch of the project is permitted, i.e., the developer cannot collect any advance prior to approval of the Building Plans, whereas in the case of Vedaanta residential project Raheja Developers had already collected advance and installment, and even executed the BBA on 13th April 2008, whereas the building plans were approved only on 18th June 2008. Rahejas had, thus, violated the terms of license.
  2. The builder has at the seeming “end” of his projects also indulged in illegalities. Rahejas have tried to pass of as fit for Occupation building that are incomplete and unsafe, and severely deficient in fire and safety issues. The builder can be booked under IPC Section 336 (Act endangering life or personal safety of others), and can also be booked under Sections 31 & 32 (1), (2) of the Haryana Fire Act 2009. The report of Objections from the Fire Department to Raheja Developers dated July 25, 2015squarely nails this.
  3. Mr Navin Raheja and Shri Anurag Rastogi, IAS could also be investigated under the Prevention of Corruption Act, 1988 just like Mr Raj Singh Gehlot of Ambience Infrastructure is being booked by the CBI. http://timesofindia.indiatimes.com/city/delhi/SC-notice-to-Ambience-chairman-Gehlot-for-VV-illegal-construction/articleshow/47918709.cms Like Mr Gehlot, Mr Navin Raheja was also the beneficiary of undue pecuniary advantage to the tune of hundreds of crores from the likes of Shri Anurag Rastogi, IAS  who facilitated the issuance of wrong Occupation Certificates.
  4. Raheja Developers has also committed PERJURY in the Courts of Justice (National Consumer Disputes Redressal Commission) in various instances. For example, it was the Colonizer’s (Raheja Developers) responsibility to acquire land and develop connecting roads of atleast 12m, but the builder has intentionally lied to the Courts putting the onus of providing the roads on HUDA.
  5. Raheja developers have also done CHEATING AND MISCHIEF BY substantially revising building plans without the consent of the existing allottees. The builder also increased the super area in excess of 5% without the consent of the allottees, as was stipulated in the Builder-Buyers Agreement.
  6. The builder has also made EXTORTIONARY demands of payments to the tune of several lakhs each, from captive & trapped customers who had already paid him tens of lakhs (in many cases 90%+ of the cost of the apartments). The builder has also collected almost Rs 5 lakhs each from hundreds of customers towards the payment of stamp duty. And, after not having deposited the stamp duty in govt treasury, or having conveyed the property in favour of the buyer even after the lapse of over 1 year, the builder is illegally holding on to the money collected from hundreds of buyers.
  7. The builder also was busted in a sting operation by Cobrapost regarding black money, international hawala, and recording lower prices than what the property was sold at to cheat the state treasury.
  8. Raheja Developers have also been accused of orchestrating a Rs 1000+ crore scam with the Delhi Development Authority in the Slum Rehabilitation Project at Kathputli Colony in Delhi. BJP’s Meenakshi Lekhi & AAP’s Ashish Khaitan have also called for a CBI probe into this issue.
  9. The builder has also run illegal Collective Investment Schemes in Sohna & Gurgaon, and also collected finance from the market without requisite approvals, via assured return schemes.
  10. The builder has also allegedly committed Cyber-Crimes, Identity Theft, Impersonation, Misrepresentation, Hacking, Defamation, Intimidation & Threats over Email & Phone as detailed in our complaint CC-505 at the Gurgaon Police Station. In return, Raheja Developers have filed a counter complaint against the authors based on fabricated evidence, forged documents, falsified financial accounts, makes false accusations to implicate innocents in serious offences, has important information omitted, and is designed to mislead public servants into using their lawful force wrongly against innocents.

When builders such as Raheja Developers, whose MD also holds the Chairmanship of NAREDCO (National Real Estate Development Council under the Aegis of Ministry of Housing and Urban Poverty Alleviation, Government of India) indulge in such criminal acts, the confidence of buyers in the Real Estate sector is bound to plummet. This is one of the major reasons why few new buyers are coming into the market. The ones who are already in the market want this nightmare to end, and the ones who are on the sidelines are happy sitting out this nightmare.

If builders like Raheja Developers (whose CMD is Chairman of NAREDCO) are taking their buyers for a ride, what can one hope from the other builders. When all is said and done, we hope the other builders will realize the blot he is on the image of NAREDCO, and will remove Mr Navin Raheja from the Chairmanship.

It is time for the cleaning to begin. The builders who at the slightest pretext are calling for govt help to revive the real estate sector (that constitutes 7% of the GDP blah blah) should start by holding accountable rogues like Mr Navin Raheja. Mr Raheja should be made to resign from the Chairmanship of NAREDCO.

6. SOCIAL MEDIA TRIUMPHS OVER MASS PRINT & ELECTRONIC MEDIA

The shenanigans, crimes, and misdemeanors of BUILDERS LIKE RAHEJA DEVELOPERS HAVE created a trust deficit in the real estate market, and are directly responsible for the its consequent crash. Corporate Real Estate Consultants like Jones Lang LaSalle (JLL), and the horde of property dealers have also been active participants in this great sham. The mass media which has misled many buyers by its omissions and commissions, has for its own short terms interests caused great long term losses, and continues to do so. That is why it is time to encourage alternate platforms to emerge.

There was a time when the go-to place was IndianRealEsateForum.com (IREF), but over time it has started compromising. Some of our articles were removed without explanation from IREF when the builders or their agents complained. And now, after its takeover in a Rs 8 crore deal by Housing.com, it seems to have lost its appetite to annoy the builder with anti-them comments. It was expected because Housing.com’s business plan is largely dependent for its future success on selling builder inventory via its online platform. Almost all major online initiatives like Housing, Proptiger, IndiaHomes, Magicbricks, 99acres, etc and Property Dealers are similarly compromised in favour of the builders. You will find none of them creating articles that expose the real workings of the real estate market, like we do.

QuBREX is unique among the Property Consultancy & Brokerage firms, and it strongly represents the interests of the buyers. Our work as had lasting impact via cases like the DLF-CCI and Rs 630 crore penalty, and many buyers have benefited directly from the information shared by us. But, we are ourselves dependent on a network of many people who contribute knowledge and support to us. As time goes by, the role of many will be disclosed, and we are truly fortunate to be a part of one of the most organized and systematic battles to rein in badmash builders.

The efforts against Navin Raheja & Raheja Developers is not about one builder, but about changing a way of doing business. The story “The Buyers New Home: How Builders Are The Modern Age Royal Tailors of the Emperor’s New Clothes” http://www.qubrex.com/raheja-ayana-how-navin-raheja-are-making-new-clothes-for-the-buyers-like-royal-tailors-for-the-emperor may be loosely based on Raheja Developers, but in fact is an expose on how almost every contemporary builder functions from the pre-launch to post-possession.

q08 raheja Buyer New Clother - Cast of Characters

Cast of Characters of our super blockbuster story at http://www.qubrex.com/raheja-ayana-how-navin-raheja-are-making-new-clothes-for-the-buyers-like-royal-tailors-for-the-emperor

Our aim is to create an active Knowledge Centre & Network for real estate related issues, because the challenges for the buyers with all builders are similar. We have worked with buyers of many builders, but the most organized effort is that of the Raheja property buyers. They have joined hands amongst various projects of Raheja, and with the combined efforts are collecting information and advice systematically via RTI’s and experts. In fact, some of them have become experienced consultants themselves, and can help other buyer groups.

It is also important that the buyers of future Raheja projects like Revanta, Aranya, Oma, Trinity, Highway Arcade, Ayana, Vanya, etc organize themselves and proactively start monitoring the performance of Rahejas. A small fee of Rs 50,000 to Rs 1,00,000 towards their Association will provide insurance for their property worth tens of lakhs or crores. They shouldn’t ignore things till it is time to harvest, only to find that the crop does not look like what was promised. There are already too many farmer suicides happening.

Similarly, if buyers in projects by other builders would like to organize, we would be happy to get them in touch with the key personnel in the Raheja buyers group.

There are problems across many builders. There are hundreds of protest videos by buyers on youtube. But, just a few minutes of shouting on camera is not going to solve anything. You need to be organized, and systematic; a lean and mean fighting machine.

The story of Raheja buyers is one that will bring success, and will have a great impact. We are fortunate to be associated with them. They needed a story teller to tell their side of the story, and that story teller happens to be us.

Stay tuned.

With warm regards,
Sanjay

9811987371, 9871219911

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31 comments
qbtpl1
qbtpl1 moderator

@ranisantosh77 @ranisantosh77  @rahejadeveloper  @nayanraheja @atharva_owner  @romi1044  @ATHARVATOWERS  @wcaverma @ibncj @myFaridabad  @amitsaggar  @realty_ET  @BloombergTVind  @_harshas  @ramsubramanian7  


Raheja Timeline of Bogus Bills Court Case of Rs 117.98 crore  for Cement, steel, and iron rods  
  • 10 February 2010 - Search Conducted on premises of Raheja Developers
  • 16 December 2011 - Rahejas file application before Settlement Commission accepting Rs 39.53 crore of Rs 117.98 as bogus purchases.
  • 2 February 2012  - Letter from CIT to ITSC that parties from whom applicant had claimed to have made purchases of cement and steel were not trading in those goods at all.
  • 24 September 2012 - Report Submitted by CIT to ITSC
  • 17 October 2012 - CIT files another report after which Rahejas accept Rs 43.78 crores of 117.98 crore as bogus purchases.
  • 18 October 2012 - CIT directed by ITSC to carry out further enquiries.
  • 16 November 2012 CIT records statement of Ashok Oberoi that all bills issued to Rahejas were bogus.
  • 10 December 2012 -- CIT files another report that stated that Ashok Oberoi had earlier statements of all bills raised by Rahejas were bogus.
  • 8 January 2013 - Final report to the ITSC that verification of transport information revealed that all claims by Rahejas were false.
  • 10 January 2013 - ITSC had a hearing in which Rahejas were not able to controvert any findings recorded in the CIT Reports
  • 15 January 2013 - Last hearing of ITSC in which Rahejas accepted that not 39.53, and not 43.78 crores, but that the whole amount of 117.98 was bogus purchases.
  • 8 February 2013 - Order passed by the ITSC granting immunity from prosecution and penalty
  • 23 August 2013 - Case filed in Delhi High Court by CIT (COMMISSIONER OF INCOME TAX (CENTRAL)-II) Against INCOME TAX SETTLEMENT COMMISSION and 1st order issued.
  • 10 February, 2014 - Order by Delhi High Court setting aside the immunity from prosecution and penalty on Raheja Developers.
  • 8 September 2014   CIT seeks Clarification on Order W.P.(C) 5262/2013 Passed on 10 Feburary 2014
  • 17th November 2014 - WP(C) disposed off by Delhi High Court issuing clarifications on its 10 February 2014 order, subject to the final decision of the Honorable Supreme Court in S.L.P. No.17333/2014
  • 24 August 2015 - Likely listing date for Raheja Special Leave Petition SLP(C) NO. 17333/2014  against the CIT (ref Order of 10 Feb 2014 of Delhi High Court). The Case was first listed on 30 July 2014 (WITH APPLN. (S) FOR PERMISSION TO PLACE ADDL. DOCUMENTS ON RECORD) and second time on 27 Oct 2014 (WITH APPLN. (S) FOR PERMISSION TO PLACE ADDL. DOCUMENTS ON RECORD  AND INTERIM RELIEF AND OFFICE REPORT).

qbtpl1
qbtpl1 moderator

How mass media helps Mr Navin Raheja & Raheja Developers spread lies can be seen in how Economic Times Realty @Realty_ET misrepresented the location of Raheja's Krishana Affordable Housing Scheme. The newspaper says that the location of this project is "Gurgaon's Sohna Road area," while the actual location is about 25 k5s away from Gurgaon, near Mewat, in the district of Sohna. The misrepresentation is being pushed by Raheja brokers @bookmyhouseIND ... The lies never stop ... See the misleading ET Realty news at http://realty.economictimes.indiatimes.com/news/residential/raheja-developers-ties-up-with-bookmyhouse-com-books-500-apartments-online/48373844

qbtpl1
qbtpl1 moderator

@atharva_owner @ranisantosh77 @gurgaonscoop 


Buyers have been complaining, but Raheja Developers seem to be deaf and confrontational to the complainants. Rahejas talk about "highest imaginable customer service levels," but actually all these are "imaginary customer service levels." 


Buyers Cheena SIkand (Raheja Atharva) & Arunesh Madan (Raheja Navodaya) featured on IBN's Citizen Journalist show on the Builder-Buyer Conflicts. This episode also has stories of buyers in Jaypee and Unitech - See the 21 minute show here http://www.ibnlive.com/videos/citizen-journalist/cj-show-nov-724878.html


Raheja Navodaya was launched in Oct 2007 and still not ready yet. Raheja Atharva is incomplete and unsafe, and has been awarded Occupation Certificates by corrupt means. 

qbtpl1
qbtpl1 moderator

The super article from the Economist - "The king of con-men" The biggest fraud in history is a warning to professional and amateur investors alike - mentioned in the story above is a MUST-READ for every property buyer. 


You can see the article here https://archive.is/PLfYt

qbtpl1
qbtpl1 moderator

In Jan 2013 Raheja  took out full page jacket (in FRONT of the front page) ads in the Indian Express that claimed that they had delivered 290 MILLION Sq.ft !!! Problem was, it was a mis-statement.


This would make them the 2nd largest builder in INDIA !


Of course, it was a lie. Maybe just another "publicity stunt." Their actual performance was probably just a singly digit fraction of that. An article discussing this and many other issues about Raheja Developers can be found here. http://qubrex.com/open-letter-to-housing-minister-about-naredco-chairman-navin-raheja/

qbtpl1
qbtpl1 moderator

Some Indian Penal Code Sections that may apply to the actions of the builder. Need some legal advice here.

  1. Prevention of Corruption Act, 1988 
  2. IPC Section 177. Furnishing false information - Whoever, being legally bound to furnish information on any subject to any public servant, as such, furnishes, as true, information on the subject which he knows or has reason to believe to be false, 
  3. IPC Section 197. Issuing or signing false certificate - Whoever issues or signs any certificate required by law to be given or signed, or relating to any fact of which such certificate is by law admissible in evidence, knowing or believing that such certificate is false in any material point, shall be punished in the same manner as if he gave false evidence.
  4. IPC Section 198. Using as true a certificate known to be false  - Whoever corruptly uses or attempts to use any such certificate as a true certificate, knowing the same to be false in any material point, shall be punished in the same manner as if he gave false evidence.
  5. IPC Section 200. Using as true such declaration knowing it to be false - Whoever corruptly uses or attempts to use as true any such declaration, knowing the same to be false in any material point, shall be punished in the same manner as if he gave false evidence.
  6. IPC Section 336. Act endangering life or personal safety of others  - Whoever does any act so rashly or negligently as to endanger human life or the personal safety of others
  7. IPC Section 383. Extortion - Whoever intentionally puts any person in fear of any injury to that person, or to any other, and thereby dishonestly induces the person so put in fear to deliver to any person any property or valuable security, or anything signed or sealed which may be converted into a valuable security, commits "extortion".
  8. IPC Section 415. Cheating - Whoever, by deceiving any person, fraudulently or dishonestly induces the person so deceived to deliver any property to any person, or to consent that any person shall retain any property, or intentionally induces the person so deceived to do or omit to do anything which he would not do or omit if he were not so deceived, and which act or omission causes or is likely to cause damage or harm to that person in body, mind, reputation or property, is said to "cheat".
  9. IPC Section 418. Cheating with knowledge that wrongful loss may ensue to person whose interest offender is bound to protect   - Whoever cheats with the knowledge that he is likely thereby to cause wrongful loss to a person whose interest in the transaction to which the cheating relates, he was bound, either by law, or by a legal contract, to protect, shall be punished with imprisonment of either description for a term which may extend to three years, or with fine, or with both.

qbtpl1
qbtpl1 moderator

Some Indian Penal Code Sections that may apply to the actions of the builder. Need some legal advice here.

  1. IPC Section 425. Mischief  - Whoever with intent to cause, or knowing that he is likely to cause, wrongful loss or damage to the public or to any person, causes the destruction of any property, or any such change in any property or in the situation thereof as destroys or diminishes its value or utility, or affects it injuriously, commits "mischief".
  2. IPC Section 427. Mischief causing damage to the amount of fifty rupees - Whoever commits mischief and thereby causes loss or damage to the amount of fifty rupees or upwards, shall be punished with imprisonment of either description for a term which may extend to two years, or with fine, or with both.
  3. IPC Section 464. Making a false document
  4. IPC Section 477A. Falsification of accounts
  5. IPC Section 120A. Definition of criminal conspiracy - When two or more persons agree to do, or cause to be done
  6. IPC Section 120B
  7. IPC Section 34. Acts done by several persons in furtherance of common intention
  8. IPC Section 25. "Fraudulently" - A person is said to do a thing fraudulently if he does that thing with intent to defraud but not otherwise.
  9. IPC Section 24. "Dishonestly"  - Whoever does anything with the intention of causing wrongful gain to one person or wrongful loss to another person, is said to do that thing "dishonestly".

qbtpl1
qbtpl1 moderator

While Mr Navin Raheja was busy ripping off his buyers, and providing them shoddy and incomplete buildings, devoid of fire and safety features, he was splurging on his son's wedding. What twisted priorities.


This "private" wedding was splashed on TV as "Dream Weddings," was printed in Times of India as a Page 3 event, and also printed in official newsletter of Raheja Developers called "Raheja Impressions." Watch it here https://www.youtube.com/watch?v=qIIwzbRTSuo and https://www.youtube.com/watch?v=ik4XuHg-G6U

qbtpl1
qbtpl1 moderator

@atharva_owner@ranisantosh77@rahejadeveloper @nayanraheja 


Why does the Commissioner of Police not book Navin Raheja & Raheja Developers under IPC 336 and 34?? If Peppers Club in Bristol could be booked because "a tragedy was waiting to happen" as an Emergency Door was being used as the main entry gate ... what about Raheja Atharva, Shilas, Vedaanta, and Vedas where the FIRE SYSTEMS are faulty. No valid FIRE CERTIFICATE is there, Occupation Certificate itself was obtained by deceit. More details here in the official letter from DTP https://groups.google.com/forum/?hl=en#!topic/raheja-atharva-owners-association/XLMK5dQqDsU


And, the video at https://www.youtube.com/watch?v=_IsloudOTUM shows"tragedy waiting to happen," at Atharva Shilas, and other Raheja Projects. A builder who has no shame, and is willing to risk the lives of his residents, demands a little harsher behaviour than the one that the public servants are meeting out to him. 

qbtpl1
qbtpl1 moderator

@atharva_owner @ranisantosh77 Why should CBI not pursue Mr Navin Raheja and Mr Anurag Rastogi, IAS for Public Servant giving wrong Occupation Certificates under Prevention of Corruption Act. Just like the case of Mr Raj Singh Gehlot the Rahejas got undue pecuniary advantages due to actions of Mr Anurag Rastogi, IAS (the ex Director General,. Town and Country Planning). This is a fit case of CBI Investigation.


The Gehlot story is here http://timesofindia.indiatimes.com/city/delhi/SC-notice-to-Ambience-chairman-Gehlot-for-VV-illegal-construction/articleshow/47918709.cms


And pics on articles of fake Occupation Certificates for Raheja projects, and that of DLF Express Greens are attached below.

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qbtpl1 moderator

Rahejas have run Illegal finance operations in Sohna. It did not matter where the land was, whether it was in Sohna or Gurgaon, or anywhere else, as long as the Agreement gave the investor the option to exit with 30% returns after 18 months. The Raheja Agreement (which you can download herehttps://app.box.com/s/wopmrixbdexyput16jxe ) says clearly in item 3 of the image from the Agreement below that the investor can take his money and be done; or as a second preference in item 4 if “the investor desires and opt to re-invest the said amount…” And Raheja’s scheme is more attractive as they are giving 20% annual return (30% for 1.5 years) versus the PACL return which was a paltry 12.5% !

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qbtpl1 moderator

@ranisantosh77  @nayanraheja  @rahejadeveloper  


The wheel of karma does turn, and there seems to be divine justice - even though it takes its sweet time. Mr Satyakam Mohanty has been busted for the Louis Berger bribery case in Goa. 


We know this person well as we helped him sell is Raheja Atlantis property, in D tower, in Nov 2007. After the deal was done, and he took money from the buyer in his B-111 Belvedere Towers Gurgaon flat, he flatly refused to pay us our brokerage charges. As we did not want the buyer to suffer for the unethical behaviour of this gentleman, we completed the deal. But the bitterness always remained.


Today, the man is in the centre of the bribery case of Louis Berger, and hopefully will pay with his time in courts/police stationfor the grief he caused to many people like us. All his claims of innocence and being a political scapegoat at just plain false.


He wanted to be a film screen writer, and now it looks like the script of his film is being written by hands other than his. Karma always catches up with the cheats.


News here

http://www.newsmobile.in/articles/2015/08/03/louis-berger-groups-former-vp-held-crime-branch


http://www.navhindtimes.in/louis-bergers-former-country-head-held/


http://www.naxatranews.com/naxatra/story.php?story=8716


http://www.indiawest.com/news/india/former-louis-berger-exec-arrested-over-payoff-scandal/article_6eca5378-3a7f-11e5-87eb-af61b204a54c.html







qbtpl1
qbtpl1 moderator

In addition to the District Commissioner's Gurgaon Arbitration Council, the Chief Minister announced the launch of the Allottees Grievances Redressal Forum (AGRF) which is supposed to have only Govt Officials. The news article and the order itself are given in the pictures below.  http://indiatoday.intoday.in/story/haryana-government-agrf-rogue-builders-real-estate-act-colonizers-mahohar-lal-khattar/1/451140.html


The tragedy is that with this AGRF the very agencies who have been complicit in the crimes with the builders, are now going to sit in judgement over the very same aggrieved buyers....

qbtpl1
qbtpl1 moderator

And the tragedy of the Gurgaon Arbitration Council (GAC) farce discussed here http://comments.gurgaonscoop.com/2015/07/16/gurgaon-arbitration-council-gac-ombudsman-a-trapdoor-or-trapdoor-forbuyerso/ and the AGRF is that the District Commissioner is now planing to merge both according to a report in Dainik Jagran of July 25, 2015. So, that the builders get entry into this forum through the backdoor. Am not sure if the Gurgaon DC really understands the implications of his thinking.

qbtpl1
qbtpl1 moderator

To see the height of duplicity, and the Janus face of NAREDCO Chairman Mr Navin Raheja, check out this show on Zee "Builders Benakaab." As NAREDCO Chairman he is on the show expounding on "other unethical builders" being preachy preachy, while today he himself is accused of the same cheating, fraud, and worse practices. A person like this wants to sit on the Gurgaon Arbitration Council?? Shame, Shame.


Check out the good 30 minute show by Zee Business on the Corrupt practices of builders. It turns out that the business practices of Mr Navin Raheja & Raheja Developers are even worse than the creators of this show could have imagined. Watch & cringe ....

https://www.youtube.com/watch?v=L7dZ4MCVW9s

qbtpl1
qbtpl1 moderator

Even Wikipedia is now starting to show the bad deeds of Raheja Developers. It is impossible for builder to suppress this page - otherwise, Mr Navin Raheja & Dimple Bhardwaj are known to compromise the mass media like newspapers & TV Channels.  A bigger story on this coming soon from the House of GurgaonScoop ...


See Wikipedia here https://en.wikipedia.org/wiki/Raheja_Developers

qbtpl1
qbtpl1 moderator

@rahejadeveloper @nayanraheja @ranisantosh77 @atharva_buyer 

The first case at NCDRC against Raheja Developers was filed by Wg Cdr Alok Verma and 43 others on July 22, 2014. The next hearing at the National Consumer Disputes Redressal Commission is on August 11, 2015 (which also happens to be the author's birthday) 


An article with photo of Wg Cdr has appeared in the Mint newspaper today on How To Say No when the builder tries to give you possession without completing all the works. The article referred Raheja Atharva. http://www.livemint.com/Money/dNgg7TYcqQ1RuNHL5XVlaM/Say-no-to-possession-if-house-is-incomplete.html



qbtpl1
qbtpl1 moderator

Interesting that IREF and Housing.com have a business model that is based on highlighting the corrupt practices of some builders. https://www.techinasia.com/india-iref-property-builder-locality-reviews/


The Indian real estate industry is notorious for rampant corruption, malpractice, and delays. There have been several disturbing instances where developers have permission to construct a building up to the seventh floor, and yet are selling eighth and ninth floor homes to buyers.


To stop people from being cheated, Housing’s sister firm Indian Real Estate Forum (IREF), a community platform to provide reviews of property, is setting up a news wing. (Housing and IREF share the same parent company). “The news wing will not tread lightly on matters that need to be spoken about aloud,” IREF CEO Ravish Naresh told Tech in Asia.


Housing has a data collection team of over hundred members and a due diligence service arm called Realty Business Intelligence (Realty BI) which will help IREF. “We don’t need to place our people on street and can directly leverage the live and updated data from the ground,” says Naresh.

IREF aims to become the TripAdvisor of real estate in a push for transparency. “Distinguishing good from bad or better options is extremely challenging in the property market. Clarity about what’s exactly on offer is a scarce good. Background information on properties is often biased and fragmented. Reliable hallmarks or yardsticks don’t exist. As a result property research and investigation is a stressful process,” said Naresh, who wants to make the industry transparent.


The 65 member team is now engaged in making sense of the abundant knowledge on IREF. Right now, all the insights are scattered so its ninja techies are tagging information location, builder, and project-wise for users to create navigation and custom search. “We have built a gamified tagging interface – IREF_Turks – where we use conditional random fields which when given a sentence would tell you what words are the real estate entities – builders, locations, and projects. This problem is also called Named Entity Recognition (NER), and has been tackled by many but mainly on formal, structured text. We’re trying this for IREF – where most of the information is informal and noisy. Despite this, we’ve already achieved a three quarter accuracy in identifying locations and are striving for much more,” explained Naresh.

qbtpl1
qbtpl1 moderator

@ranisantosh77 @rahejadeveloper @nayanraheja  


How Corrupt and morally degenerate are Mr Navin Raheja and his henchman Mr Harinder Dhillon ("Marketing Manager" at Raheja Developers) ? They are cheats and frauds down to the last rotten bone. 


In an audacious and brazen move for a morally bankrupt builder, they filed a false complaint with the Gurgaon Police (to be converted to FIR) against us (Sanjay Sharma, Sonia Vaid, and Sanjeev Kumar). Drunk on money power, they think they can buy the public servants - but so far they have been proven wrong. 


WE ARE SHOWING FOR THE FIRST TIME EXCERPTS FROM THE POLICE COMPLAINT AGAINST US BY RAHEJA DEVELEOPERS, in pics attached to the comments below. Full of lies and fabricated evidence, it shows the true character of the Company and its Management.


In the complaint they have accused us of meeting Mr Harinder Dhillon in our office on Feburary 13, 2015 and demanding Rs 42 lakhs from them to stop writing against them. While the fact is that I have not met Harinder Dhillon in over 3 years. This art of lying for his master is what Dhillon has perfected, and brings it into his job of "Marketing Manager" at Raheja Developers.


After claiming that we had been threatening them for money over the last many years, all they have to show for "proof" is one meeting that never happened. These paranoids who record every conversation, and every meeting, have no evidence against us. Yet, they claim that on "various" occasions in the past we had threatened them. LIARS. Mr. Navin Raheja and Harinder Dhillon, you are liars, and we say that to your face. 


Then, in the police complaint they claim that they owe us no money. They do. Like hundreds of others whom they have cheated, and who are filing cases against Raheja Developers - we were also cheated of Rs 40.2 lakhs in 2008. But, the greedy and avaricious Mr Navin Raheja claims he owes us no money. You are a LIAR Mr Navin & you are a LIAR Mr. Dhillon. And it seems that your memory itself has been corrupted.


And then, in their police complaint they suggest to the police that we should be charged under the following sections - Section 66 (a), 66(b), 66(c) and 43(i) of the IT Act, and under IPC (Indian Penal Codes) 352, 355, 383, 384, 387, 388, 389, 465, 468, 469, 499, 500, 501, 503, 506, 507, 120B and 34 ! Phew! 


The cheat and badmash Mr Navin Raheja and Mr Harinder Dhillon are trying to scare us with their high priced lawyers. Go to hell Mr Raheja, and when all is said and done - you will find Satyamave Jayate. And your lies will lose.

qbtpl1
qbtpl1 moderator

The cheat and badmash Mr Navin Raheja and Mr Harinder Dhillon are trying to scare us with their high priced lawyers. Go to hell Mr Raheja, and when all is said and done - you will find Satyamave Jayate. And your lies will lose.

qbtpl1
qbtpl1 moderator

Then, in the police complaint they claim that they owe us no money. They do. Like hundreds of others whom they have cheated, and who are filing cases against Raheja Developers - we were also cheated of Rs 40.2 lakhs in 2008. But, the greedy and avaricious Mr Navin Raheja claims he owes us no money. You are a LIAR Mr Navin & you are a LIAR Mr. Dhillon. And it seems that your memory itself has been corrupted.

qbtpl1
qbtpl1 moderator

After claiming that we had been threatening them for money over the last many years, all they have to show for "proof" is one meeting that never happened. These paranoids who record every conversation, and every meeting, have no evidence against us. Yet, they claim that on "various" occasions in the past we had threatened them. LIARS. Mr. Navin Raheja and Harinder Dhillon, you are liars, and we say that to your face. 

qbtpl1
qbtpl1 moderator

Raheja Developers have accused us (Sanjay, Sonia, and Sanjeev) of meeting Mr Harinder Dhillon in our office on Feburary 13, 2015 and demanding Rs 42 lakhs from them to stop writing against them. 


Tthe fact is that I (Sanjay) have not met Harinder Dhillon in over 3 years, and have absolutely no desire to meet a liar/cheat/fraud like Mr Dhillon.  This art of lying for his master is what Dhillon has perfected, and brings it into his job of "Marketing Manager" at Raheja Developers. I am sure he must be getting amply rewarded by HMV.

qbtpl1
qbtpl1 moderator

The Chor and Cybercriminal Navin Raheja has even got our Youtube channel with over 350+  video shut down by sending fake letters claiming multiple copyrights. Our cyber criminal case against him is progressing at the Gurgaon Cyber Crime Cell as case number CC-505. The loss to us runs into crores on rupees.

qbtpl1
qbtpl1 moderator

Even the GM Corporate Communications, Ms Dimple Bhardwaj, has been badmouthing us as part of Raheja Developers Strategy to target us. 

qbtpl1
qbtpl1 moderator

Ms Dimple Bhardwaj, GM, Corporate Communications, Raheja Developers, has posted a lot of comments on even OUR websites defaming us using her handle @ranisantosh77  


You can see the connected twitter profile here @ranisantosh77 (Image

shown below) and the comments she has written on this LiveFyre commenting system against us here @ranisantosh77