Man held for fraudulent sale of mortgaged property worth crores in Delhi

New Delhi, Apr 2 (PTI) The Economic Offences Wing (EOW) of Delhi Police has arrested a 36-year-old man for allegedly cheating homebuyers by fraudulently selling a property mortgaged with a private bank, an official said on Wednesday.
     The accused, identified as Moshin Mohammed, was involved in a case of cheating related to the sale of a property in Daryaganj which was already pledged as security with a private bank, he said.
     A case was registered against the accused under sections 406 (criminal breach of trust), 409 (criminal breach of trust by a public servant or banker), 420 (cheating) and 120-B (criminal conspiracy) of the IPC at EOW police station on the private bank's complaint in October 2021.
     The investigations revealed that M.K. Overseas Pvt. Ltd., a meat export company currently under liquidation, had availed credit facilities amounting to Rs 95 crore from the bank in 2016, mortgaging its property at 19C, Ansari Road, Daryaganj, police said in a statement.
     Mohammed allegedly facilitated the construction of multiple flats on the land between March 2018 and May 2019 and sold them to unsuspecting buyers without informing them about the mortgage, amassing Rs 13 crore through fraudulent sales, he said.
     The official said that the accused also allegedly withdrew Rs 3.33 crore from an account opened at a cooperative bank for personal use, adding he frequently changed mobile numbers to evade authorities and procured SIM cards under different names.
     The official said that Mohammed was traced to a hotel in Nizamuddin (West) based on technical surveillance and arrested on March 26.
     He reportedly admitted to misappropriating company funds during interrogation and further probe indicated his involvement in similar fraud cases.
     The official said Mohammed is also an accused in multiple cases, including FIRs registered with the EOW Delhi in 2021 and 2022, as well as fraud cases under investigation by the Enforcement Directorate and the police in Gautam Buddh Nagar, Uttar Pradesh.
     He further said the accused, who was a director at M.K. Overseas Pvt. Ltd., had facilitated multiple loans worth around Rs 300 crore from various banks by mortgaging several properties.
     When the business declined, he allegedly resorted to illegal means to siphon company funds, the official added.
     Further investigation is underway.

(This story has not been edited by THE WEEK and is auto-generated from PTI)