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The Cyberabad Economic Offences Wing (EOW) has registered a case against a Hyderabad-based real estate developer and its directors over allegations of cheating homebuyers in a residential project at Puppalaguda. Investigators allege the firm collected around INR 24.88 crore from 56 purchasers without delivering the promised apartments or fulfilling commitments linked to the project. The case has been booked under provisions of the Bharatiya Nyaya Sanhita (BNS), and the agency has commenced an investigation into the financial transactions and project-related approvals.
A residential project in Hyderabad's western suburbs has come under the scanner of the Cyberabad Economic Offences Wing (EOW) after allegations that dozens of homebuyers were induced to invest in apartments that were neither delivered within the promised timeframe nor supported by the necessary statutory clearances. The agency has registered a criminal case against a city-based real estate company and its directors following complaints that buyers collectively paid nearly INR 24.88 crore for flats that remain undelivered.
The investigation relates to a housing development at Puppalaguda, where prospective purchasers entered into agreements after being assured that the project would progress in accordance with the commitments made by the developer. According to the complaint, buyers made payments in different instalments over a period of time with the expectation that construction would advance and possession would be handed over within the agreed schedule. However, several purchasers later alleged that the project failed to achieve the promised milestones, leading to concerns over the status of both the development and the funds invested.
Preliminary findings examined by investigators indicate that around 56 homebuyers had invested in the project. The complainants have alleged that the developer continued to accept bookings and collect substantial amounts despite unresolved issues concerning statutory approvals required for the project. They further claimed that repeated requests seeking updates on construction progress, execution of sale documents and delivery timelines did not result in satisfactory resolution.
Based on the complaints received, the EOW has initiated an investigation into whether the representations made to purchasers were consistent with the project's regulatory status at the time bookings were accepted. Officials are expected to scrutinise agreements executed with buyers, payment records, correspondence exchanged between the parties and documents relating to planning permissions and project approvals. The inquiry will also examine the utilisation of funds collected from purchasers and whether contractual obligations were fulfilled.
The case has been registered under relevant provisions of the Bharatiya Nyaya Sanhita (BNS) dealing with offences including cheating, criminal breach of trust and criminal conspiracy. Investigators are in the process of recording statements from affected buyers and gathering documentary evidence to establish the sequence of events leading to the complaints.
The development highlights the increasing role of specialised economic offences units in addressing disputes involving large-scale residential projects where allegations extend beyond contractual delays to potential financial misconduct. It also reinforces the importance of due diligence by homebuyers and compliance with statutory approval requirements before developers market or sell residential units.
The Cyberabad EOW has stated that the investigation is continuing, and further action will depend on the findings that emerge during the course of the inquiry. Authorities are expected to examine the records in detail before determining any additional legal or regulatory measures in connection with the project.
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