- Highest in the country since last year
- People losing their hard earned money
- TS RERA playing mute spectator
- Unaffiliated building societies
Hyderabad, once renowned as an international city, has now become the capital of fraudulent launch schemes in the country. Several real estate companies have collected billions of rupees from investors and vanished into thin air, leaving behind a trail of deceit. The blame for these illegal activities has been squarely placed on the shoulders of the Hyderabad Construction Associations, but no significant action has been taken against them. Consequently, some other associations have also emerged. Despite being aware of these unlawful activities, the Hyderabad Construction Associations have not taken any concrete steps to stop them. Instead, they continue to prey on unsuspecting customers, squandering their hard-earned money on construction projects that never materialize.
The previous government’s negligence towards Hyderabad has led to a rise in such scams. Many individuals, lured from various fields, have entered the real estate market. Initially, they sold plots and flats during the launches, collecting money from investors. When it came to seeking approvals and permissions, however, they resorted to various delaying tactics, leaving many customers in limbo. Some have even resorted to filing cases against these builders, but the outcome remains uncertain. Others, disillusioned by the lack of progress, have resorted to protesting outside police stations, demanding action against the culprits.
The Hyderabad Construction Associations, responsible for the fraudulent launches, have been exposed for their failures. Despite their claims, they have failed miserably in curbing these unethical practices. Over the past three to four years, these associations have made feeble attempts to regulate the launches. If they had made concerted efforts to crack down on illegal activities, Hyderabad’s brand image wouldn’t have suffered such a severe blow. Moreover, developers have taken advantage of lax regulations to sell flats at exorbitant rates during the launches. As a result, many real estate projects in areas like Kollur, Velimala, Kismatpur, Kokapet, and Narsingi have come to a standstill. This situation has severely affected the city’s economy.
Some scams..
Many real estate companies in Hyderabad have cheated people in the name of pre-launches. Also, the following table shows how much the companies have collected and cheated the people.
Sahithi Group Rs 1500 crore
Jaya Group Rs 300 crore
Mythri Projects Rs 100 crore
Bhuvanteza Rs 200 crore
Obili Infra Rs 20 crore
JV Estates Rs 300 crore
JJ Infra Rs 10 crore
Bharathi Builders Rs 300 crore
Several groups, including JSR Group, Parijatha Developers, ARJ Group, and Fortune 99 Homes, have duped people through fraudulent launches. The JSR Group alone has faced multiple police cases, while Parijatha Developers have faced allegations of fraud. Fortune 99 Homes, on the other hand, is currently facing protests from angry investors. The chairpersons and directors of these companies have been changing names and engaging in various businesses, trying to evade legal action. ARJ Group and Gayatri Infra, which were once considered reputable companies, are now on the brink of collapse, changing their company names and engaging in new businesses to avoid liabilities.
