GURUGRAM: The Economic Offences Wing (EOW) of Delhi Police has initiated an FIR against Ocean Seven Buildtech Pvt. Ltd. (OSB) and its Managing Director Swaraj Singh Yadav for allegedly deceiving homebuyers and misappropriating funds from the Expressway Towers project in the region.
Launched in December 2016 under the Pradhan Mantri Awas Yojana (Urban), the project has yet to be completed, despite receiving over ₹217 crore, which amounts to over 95% of the buyer payments. The project, which includes 1,089 flats (1BHK and 2BHK) situated across 7.5 acres, had promised possession by 2022.
The FIR, lodged on October 15, resulted from a complaint alleging that the developer cheated homebuyers and misused funds meant for the housing project in Sector 109. Initially filed by Elan Kumaran Subramanian, it was later supported by an additional 25 buyers, reflecting the broader concerns of affected allottees.
The case is registered under various IPC sections, including 406 (criminal breach of trust), 409 (criminal breach of trust by an agent), 420 (cheating), and 120B (criminal conspiracy).
Complainants claim that OSB has been diverting funds intended for construction to unrelated projects. Reports indicate that Axis Bank has acknowledged unauthorized withdrawals from the project’s escrow account during H-RERA Gurgaon meetings, raising further alarms regarding potential financial misconduct.
Homebuyers have leveled accusations against the developer for misrepresentation, delays in project completion, and fraudulent resale of units originally allocated to legitimate allottees, resulting in significant financial and emotional hardship for the middle-income families who invested their savings.
The complainants have requested the EOW to trace and freeze the company’s bank accounts and conduct a forensic audit of all financial transactions related to the project.
In response, a spokesperson for the developer has denied the fraud allegations, labeling them as false and malicious. The spokesperson attributed project delays to the Covid-19 pandemic and NGT restrictions, while stating that over 90% of the work is now complete, with final delivery expected by March 2026.
It was also noted that ₹180 crore of the ₹217 crore has been received from buyers, and all External Development Charges (EDC) dues to DTCP have been settled. The developer also claimed to have faced an extortion attempt of ₹5 crore by a self-proclaimed buyers’ group and has filed a police complaint seeking protection.
