Mumbai News: Chembur Builder Booked For ₹16.49 Crore Fraud; Sold 18 Mortgaged Flats Without Bank NOCs, Case Transferred To EOW

Mumbai: The Chembur Police have filed a case against Paras Sundarji Dedhia of Yash Builders Construction for allegedly defrauding Axis Bank to the tune of Rs 16.49 crore.

Dedhia is accused of selling 18 flats and an office properties mortgaged with the bank without obtaining the required no-objection certificates (NOCs) or repaying the loan. This case has been transferred to Economic Offence Wing for further investigation.

Complaint Lodged by Axis Bank Officials

The case has been filed based on a complaint by Dakshesh Sumanbhai Balsara, 45, Assistant Vice President at Axis Bank’s Nariman Point branch. The initial complaint was lodged by branch head Biswaroop Mukherjee with the Economic Offences Wing (EOW) on August 20, 2024, leading to a preliminary investigation and eventual FIR registration.

Loan and Collateral Agreement

According to the FIR, In 2015, Dedhia had taken a Rs 15 crore loan from IIFL (a non-banking finance company) to complete the "Yash Signature" project. To secure this loan, he mortgaged 18 flats and one office unit.

Later, he approached Axis Bank's Chembur branch seeking a Rs 20 crore term loan both to repay the IIFL loan and to continue construction of the same project.

Although the bank initially sanctioned the loan on July 8, 2015, Dedhia declined to accept it due to high interest rates. Axis Bank then offered revised terms, and the loan was revalidated and approved on January 24, 2016.

As part of the agreement, Dedhia pledged his projects, Yash Signature and Yash Heights as collateral. He also committed to repaying the principal within 36 months and the interest within 24 months.

Loan Disbursement and Default

Axis Bank disbursed the loan in stages, including Rs 8.75 crore directly to IIFL to repay the previous loan, and further amounts into Dedhia's loan account. By September 2016, a total of Rs 16.49 crore had been disbursed.

Under the loan terms, Dedhia was required to open an escrow account through which all proceeds from the sale of units in Yash Signature and Yash Heights were to be routed.

However, he failed to open the escrow account and initially made repayments only till October 2017. The loan account turned into a Non-Performing Asset (NPA) by June 30, 2018.

Legal Actions by Axis Bank

Following non-repayment, Axis Bank issued a recall notice and eventually filed a case in the Debt Recovery Tribunal (DRT) on April 26, 2019. A notice under Section 13(2) of the SARFAESI Act was issued on September 12, 2018, followed by a petition under Section 14, filed in the Court of the Chief Metropolitan Magistrate on November 4, 2023. The court appointed Advocate Dilara Abdul Razzak Dalvi as the Commissioner for property possession.

On February 8, 2024, the court-commissioned team visited the project sites at Govandi (Yash Heights) and Deonar (Yash Signature) and discovered that all the flats had already been sold, despite being mortgaged to Axis Bank and without bank NOCs.

Forgery and Breach of Trust Confirmed

A detailed title search conducted by Vijay & Co., and later reverified by MDP & Partners, revealed that Dedhia had sold all 18 mortgaged flats and the office unit in Yash Signature, along with flats in Yash Heights, before repaying the bank loan. The sales were made without notifying or obtaining clearance from Axis Bank, a direct breach of loan terms.

Dedhia had signed all loan agreements and documents along with his wife, Kashmira Dedhia, who is also named in related legal proceedings. The bank alleges that the couple willfully violated the terms and misused the loan funds.

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FIR Registered by Chembur Police

Based on the findings, the Chembur police have booked Paras Dedhia under Section 409 of the Indian Penal Code (IPC). The FIR notes that Dedhia, acting on behalf of Yash Builders, committed fraud by selling mortgaged properties without consent, thus breaching the trust placed in him by the financial institution. Further investigation is underway.

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