A major investment fraud case has surfaced in Mumbai after two directors of a real estate company were booked for allegedly duping 18 investors of more than Rs 31 crore. The complaint was first filed by a senior pharma businessman who alone invested Rs 8.26 crore in the project between April 2021 and May 2023.
According to the Andheri police, the accused have been identified as Jaykumar Gupta and his son Suyash Gupta. As the fraud amount crossed Rs 10 crore, the case has been transferred to the Economic Offences Wing for further investigation. Police officials said the accused used the collected funds to invest in a redevelopment project in Jogeshwari.
The case came to light after a seventy one year old businessman from Andheri, who runs a pharma manufacturing unit in Gujarat, approached the police. He said he was introduced to the Guptas in 2021 through an acquaintance when he was looking for investment opportunities. The accused pitched an ongoing redevelopment project in Jogeshwari, claiming they were experienced in real estate and transport and had the rights to sell flats in two of the three buildings planned on the site.
The complainant stated that the Guptas promised an annual return of eighteen percent on the invested amount, with interest to be paid every three months until the principal was returned. He and his family invested a total of Rs 8.26 crore in the real estate project. While interest payments were made on time until September 2024, the accused allegedly stopped all payments thereafter and did not return the principal.
Further checks revealed that the landowner had already handed over possession to the Guptas, who completed most of the construction of two buildings and sold several real estate units without repaying investors. The complainant later found more investors who were offered the same returns in the real estate scheme but were also left unpaid.
In all, eighteen investors suffered losses worth Rs 31.26 crore, according to police reports. A case has been registered and further investigation is underway.
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