Coimbatore: The economic offences wing (EOW) of the city police said that they had received at least three complaints of real estate fraud this year. The city crime branch has also registered a construction owner for fooling a few residents in October 2015.
Officials said often the dream of buying a home for a cheap price is exploited to cheat people. Police said that these construction and real estate companies hire agents and brokers who would display properties to prospective buyers. While some companies owned disputed lands, many others often did not have any property in their name.
Deputy superintendent of police Nehru said in one such case a construction company registered a portion of the land. Then they displayed that portion of land claiming that an apartment complex would be built on the site. The registration document would help prove their case.The same land was shown to several people and registration amount collected. "In another case in Nanjundapuram, Kandhaguru Real Estate Company cheated over 400 people to the tune of 200 crore by selling them property located on the elephant corridor which did not have any approval from the government," he said.
Superintendent of district police R V Ramya Bharathi said she had also received two petitions seeking action against fraud real estate companies. "Most of these companies though unregistered put out advertisements in leading newspapers and also on TV," she said.
After receiving the initial deposit and a few instalments, the owners abscond. She added that while the police could take legal action against them, there was no assurance of them receiving their amount back.
"In most such cases, the owners do not have any properties in their name and recovery of money becomes very difficult," she said.
City crime branch registered a case in October, last year where a person named Zubeir Ahmed had put up an advertisement in a local paper promising people a home by December 2015. When the houses were not constructed, nor was the money returned, they complained.
"The public should be aware and ask for documents and clearances from these companies before booking a home. Also, the background of the company and their assets should be checked," said DSP Nehru.
The EOW has started distributing pamphlets and has put up posters in various public places to ensure that people are aware of such offences.
"Once in two months we visit colleges and play videos that educate the youngsters on various types of financial scams and how they could escape from it. Since we lack funds, we cannot take up many innovative measures," said an official.
Officials said often the dream of buying a home for a cheap price is exploited to cheat people. Police said that these construction and real estate companies hire agents and brokers who would display properties to prospective buyers. While some companies owned disputed lands, many others often did not have any property in their name.
Deputy superintendent of police Nehru said in one such case a construction company registered a portion of the land. Then they displayed that portion of land claiming that an apartment complex would be built on the site. The registration document would help prove their case.The same land was shown to several people and registration amount collected. "In another case in Nanjundapuram, Kandhaguru Real Estate Company cheated over 400 people to the tune of 200 crore by selling them property located on the elephant corridor which did not have any approval from the government," he said.
Superintendent of district police R V Ramya Bharathi said she had also received two petitions seeking action against fraud real estate companies. "Most of these companies though unregistered put out advertisements in leading newspapers and also on TV," she said.
After receiving the initial deposit and a few instalments, the owners abscond. She added that while the police could take legal action against them, there was no assurance of them receiving their amount back.
"In most such cases, the owners do not have any properties in their name and recovery of money becomes very difficult," she said.
City crime branch registered a case in October, last year where a person named Zubeir Ahmed had put up an advertisement in a local paper promising people a home by December 2015. When the houses were not constructed, nor was the money returned, they complained.
"The public should be aware and ask for documents and clearances from these companies before booking a home. Also, the background of the company and their assets should be checked," said DSP Nehru.
The EOW has started distributing pamphlets and has put up posters in various public places to ensure that people are aware of such offences.
"Once in two months we visit colleges and play videos that educate the youngsters on various types of financial scams and how they could escape from it. Since we lack funds, we cannot take up many innovative measures," said an official.