LUCKNOW: The Uttar Pradesh Police’s Economic Offences Wing (EOW) has apprehended Mahipal Singh, a director involved in a suspected multi-crore real estate scam linked to Karmabhoomi Real Estate Company Limited. The company is accused of defrauding numerous investors across various districts. Five other directors and associates are still at large, according to police officials.
Singh, aged 50 and hailing from Chhatikara in Mathura, was arrested on June 6 during a state-wide crackdown on economic offenders ordered by senior EOW officials. He had been evading arrest in relation to Investigation No. 44/2023, which originated from Case Crime No. 03/2023 filed at the EOW in Kanpur.
He faces multiple charges under the Indian Penal Code, including criminal breach of trust (409), forgery (467, 468), use of forged documents (471), and criminal conspiracy (120-B).
Allegations of ₹100 Crore Investment Fraud
Investigators reveal that the company, registered with the Registrar of Companies in Kanpur, expanded its operations across districts such as Mathura, Kanpur, Bijnor, Moradabad, Shahjahanpur, and Lakhimpur Kheri.
Between 2011 and 2015, it allegedly engaged in aggressive investment schemes promising unusually high returns and guaranteed allotment of residential properties. The EOW reported that these schemes attracted many investors, leading to about ₹100 crore in deposits. Victims were promised quick returns and affordable real estate options, yet the company reportedly failed on both counts, leaving investors without their promised properties or refunds.
Directors Accused of Disappearing
Following the collection of funds, the company’s directors and representatives abruptly closed offices and vanished, leaving investors without recourse. The investigation indicates a well-organized conspiracy involving forged documents, deceptive marketing, and false guarantees to defraud investors. Allegedly, the raised funds were misappropriated for personal gain rather than being used for legitimate real estate projects.
Evidence of a Planned Fraud
In response to numerous complaints, the state government ordered an EOW investigation. Sufficient evidence was found to file a criminal case against six directors, including Mahipal Singh.
Officials stated that Singh played an influential role in company operations and allegedly coordinated with his accomplices to defraud a significant number of investors.
Arrest Made During Special Drive
Thanks to intelligence reports, the EOW located Singh in Mathura and arrested him after months of evasion. He is now being presented before a competent court as legal proceedings continue.
Pursuit of Remaining Accused Continues
The EOW is actively working to apprehend the five remaining absconding accused. Financial records, banking transactions, and property details are under examination to trace the misuse of funds and identify assets tied to the alleged fraud.
Officials anticipate further arrests as the investigation unfolds. This case is among the largest real estate-related fraud investigations undertaken by the EOW in Uttar Pradesh in recent years, with estimated losses around ₹100 crore.
