Bombay HC issues non-bailable warrants against promoter

HC orders tighter norms on gains from property saleBy Accommodation Times Bureau


On Tuesday, Bombay High Court directed Mumbai police commissioner to produce builder Jayant Mehta on Wednesday and issued non-bailable warrants against him.

The order was passed by Justice Shahrukh Kathawala, the court ordered the developer several times to appear before the court. However, it failed in it. The panel was hearing petitions filed by a public charitable trust, Khambhati Modh Vanik Samaj. To redevelop a property in Kandivali, the trust entered into a development agreement with Bhakti Enterprises which is run by Jayant Mehta.

The judge observed in an earlier order that, “Prima facie, I am satisfied that Jayant Mehta has cheated the petitioner trust, who is owner of the property; the tenants in the 40 tenements; and the flat purchasers who have paid him on the basis of his representation that he will provide them ownership flats.”

“He also indulged in double sales of flats and has thereby put everyone in difficulty. He has not paid tenant’s compensation in lieu of temporary alternate accommodation, because of which they are virtually on the streets,” the court had said.

It was necessary to get details from promoter about amounts he has received from many individuals by promising to provide ownership flats to them, the judge said. He further added that, and also where the amounts have been deposited by him.

Counsel for the Samaj, Adv. Vishal Kanade said the trust had cancelled the development agreement with Mehta as he failed.

According to Adv. Anand Jondhale, “The developer accepted multiple bookings for the same flat and cheated flat purchasers. Despite court orders, he failed to remain present.”

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