RAJKOT: Hetal Tilala, a 40-year-old schoolteacher, has lodged a complaint with the Rajkot Taluka police against property developer Viren Sindhav, alleging fraud. Tilala purchased a flat in Shivay Apartments from Sindhav in 2018, allowing her brother-in-law Kishan to reside there. On May 26, 2020, Sindhav executed a registered sale deed for the flat, asserting it was free from any encumbrances.
On May 12, 2025, Kishan informed Tilala that a legal notice addressed to her was issued by a law firm representing Mandavrayji Credit Co-operative Society Ltd. The notice stated that Sindhav had taken a ₹5 crore cash credit loan at a 15% interest rate from the society in 2019, using the Shivay Apartments as collateral. Babu Sindhav and Hemal Somaiya acted as guarantors.
Out of the 32 flats in Shivay Apartments, 17 were mortgaged to the society. When Sindhav defaulted on the loan, the credit society initiated arbitration proceedings in Rajkot for recovery. On March 13, 2024, the board approved the society’s claim for ₹53.77 lakh, with a 15% annual interest starting May 2023 and an extra 2% penalty interest, ordering repayment within 15 days. Notices were then sent to several flat owners, including Tilala.
Upon contacting Viren Sindhav, flat owners learned he had taken a ₹2.5 crore loan from the Mandavrayji Credit Co-operative Society Ltd, pledging the Shivay Apartments as security. He claimed to have repaid ₹2 crore, with ₹50 lakh plus interest still outstanding, while admitting his inability to repay the remaining amount.
The flat owners subsequently filed a complaint with the police against the developer.
