CBI searches 12 locations in Bengaluru, Mumbai, Pune over builder-financial institution nexus

Bengaluru: The Central Bureau of Investigation (CBI) has registered five new criminal cases against builders and unidentified officials of financial institutions over their alleged links that resulted in homebuyers being defrauded.

The cases, registered on the directions of the Supreme Court, include four against the Ozone group and its related entities in connection with projects in Bengaluru and Mumbai, and one against Vivansaa Baalsam for its Bengaluru project. The cases allege criminal conspiracy, cheating, criminal breach of trust and misconduct by financial institution officials, the CBI said in a news release.

The agency on Thursday conducted searches at 12 locations across Bengaluru, Mumbai and Pune in connection with the cases. The searches were aimed at collecting evidence relating to alleged diversion of funds, financial irregularities and fraudulent practices in the housing real estate sector, the CBI added.


The agency said it seized incriminating documents, digital devices and other materials during the searches, which are being examined.

A large number of homebuyers had approached the Supreme Court seeking relief over alleged fraudulent activities by builders that had affected them for several years.

The CBI had earlier registered 50 cases against various builders across India in compliance with the Supreme Court's directions. With the five new cases, the agency has registered 55 cases against builders so far on the court's orders.

The latest cases are part of the CBI's probe into alleged builder-financial institution nexuses and are intended to establish accountability for economic offences and alleged fraud against homebuyers, the agency said.