Haryana RERA Acts Against Ramprastha Promoters in ₹1,100 Crore Homebuyer Scam

DOWNLOAD IPFS

The Haryana Real Estate Regulatory Authority (HRERA) has issued a show-cause notice to Ramprastha Promoters & Developers Pvt Ltd (RPDPL) for failing to comply with orders to refund homebuyers. The notice warns of civil imprisonment under Section 40 of the Real Estate (Regulation and Development) Act if the developer does not respond by August 8.

This regulatory action comes shortly after the Enforcement Directorate (ED) arrested RPDPL directors Sandeep Yadav and Arvind Walia on July 21. The two were taken into custody under the Prevention of Money Laundering Act (PMLA) in connection with a ₹1,100 crore fraud involving more than 2,000 homebuyers.

According to the ED, Ramprastha collected substantial amounts from buyers for its projects including Edge, Skyz, Rise, and Ramprastha City. Despite collecting funds nearly 14 to 17 years ago, the firm failed to hand over possession of the units. Investigators said that more than ₹140 crore was siphoned off to group entities, rather than being used for construction.

The agency has provisionally attached immovable properties valued at over ₹681 crore. These include plots in Gurugram sectors 37D, 92, and 95, along with land parcels in Basai, Gadoli Kalan, Hayatpur, and Wazirpur. The ED has also launched a forensic audit and is examining the trail of diverted funds.

HRERA has cited previous orders issued between 2020 and 2024 in which the authority had directed RPDPL to refund approximately ₹3 crore to various homebuyers. As of now, the company has failed to comply with these directions. HRERA’s latest notice warns that failure to act will result in the issuance of arrest warrants and potential jail time for responsible individuals.

This case highlights the growing crackdown on fraudulent practices in the real estate sector, particularly in the Delhi-NCR region. Thousands of homebuyers are reportedly affected, with many still waiting for possession of their flats or plots despite making full payments years ago.