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The Noida Authority has filed a complaint with the Economic Offences Wing (EOW) of the Delhi Police against GSS Proco on charges of financial irregularities and diversion of funds. GSS Procon was given a 10,306 sqm plot in Sector 143A in 2010 for the Victory Crossroads project, which was to hand over 288 units. The builder, however, did not develop the project and has not yet settled INR 91 crore of land charges. Promoters Harvinder Singh Sikka, Gurnit Singh Sikka, Pramod Goyal, and Sandeep Goyal have allegedly sold flats, generated third-party rights, and siphoned off money rather than making payments to the Authority. The project is currently undergoing insolvency proceedings in the NCLT. Since November 2024, Noida Authority has complained against four developers, namely Shubhkamna Buildtech, IVR Prime Developers, and Logix City Developers Pvt Ltd, for similar financial mismanagement.
The Noida Authority has filed a complaint with the Economic Offences Wing (EOW) of the Delhi Police against another developer of a stalled group housing project, GSS Procon, on charges of financial irregularities and diversion of funds. Advertisement
GSS Procon was given a 10,306 sqm land in Sector 143A in 2010 to build the Victory Crossroads group housing project, which was supposed to provide 288 residential units. As per Noida Authority, the developer did not complete the construction of the project within the deadline and still has pending land dues of INR 91 crore.
The project's promoters, Harvinder Singh Sikka, Gurnit Singh Sikka, Pramod Goyal, and Sandeep Goyal, were accused of selling the flats and generating third-party rights. Officials said the promoters also misappropriated funds meant to be paid to the Authority, incurring financial losses and inconvenience for the homebuyers. The project is under insolvency at the National Company Law Tribunal (NCLT).
Noida Authority CEO Lokesh M has requested the EOW to conduct an investigation against the developer and the four promoters.
This is the fourth time since November 2024 that a developer has been under investigation by the EOW. Earlier, there were complaints against Shubhkamna Buildtech, IVR Prime Developers, and Logix City Developers Pvt Ltd.
Complaints against IVR Prime and Shubhkamna were made to the EOW in January, while the case against Logix City Developers was made last year in November.
The Noida Authority accused Shubhkamna Buildtech promoters Mukesh Khurana, Diwakar Sharma, Kamal Singh Rothan, Harish Kumar, and Piyush Tiwari of granting third-party rights by selling the flats in their group housing society, Shubhkamna Tech Homes in Sector 137. Even without the occupancy certificates for the 692 flats, the developers reportedly misappropriated funds without clearing INR 165 crore worth of land dues.
Likewise, IVR Prime Developers (earlier known as IVRCL Infrastructure) was granted 1.3 lakh sqm of land on April 18, 2007, for the Ajnara Ambrosia project in Sector 118. In total, only 3,385 of the 4,065 sanctioned flats were constructed and none of them have been registered. The developer has a pending balance of more than INR 660 crore to the Noida Authority. Promoters Ila Reddy, E Sudhir Reddy, K Ashok Reddy, R Balrami Reddy, E Sunil Reddy, TN Chaturvedi, RC Sinha, TRC Bose, and Ashish Dhawan are said to have sold flats, created third-party rights, and diverted the proceeds without paying their dues to Noida Authority.
In November last year, Noida Authority had also complained to the promoters of Logix City Developers Pvt Ltd for INR 666 crore of unpaid dues and delayed delivery timelines for their Blossom Zest residential complex in Sector 143.
With several cases being probed by the EOW and certain projects being in insolvency proceedings at the NCLT, homebuyers remain in the dark and at financial risk. The legal efforts of the Authority highlight its resolve to ensure accountability and safeguard homebuyers' interests.
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