Real estate frauds reach a new high

October 10, 2006	(Be the first to rate this story!)  Loading ...
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HYDERABAD: M Prakash Rao (name changed), a businessman from Srikakulam district, wanted to buy a plot in the city.

So with a dream in his eyes to own a piece of land in ‘Happening Hyderabad’, he arrived in the city, went on a ’site visit’, looked at a few ventures and settled for a plot in Hayathnagar.

Little did he know that within a year of paying ‘easy instalments’ to own the dream plot, his real estate dealer would close the shop and scoot with his money.

Several thousand people like Prakash Rao have been duped by realtors and as a result, cases are piling up at the AP State Consumer Disputes Redressal Commission.

At present, the commission is dealing with at least 1,200 complaints related to real estate. In most cases, there are no title deeds. There is no proof of land transfer too from the owner to the real estate dealer.

“The realtors just pay some advance to the land owners, show the receipt as proof of the land transfer and sell plots. Even if the land has proper title deeds, more often than not the layout is not approved by authorities like Huda and the consumer has made a bad investment,” AP State Consumer Disputes Redressal Commission president justice I Venkatanarayana told TOI on Monday.

The commission gets about 10 cases on the real estate deals every month where the settlement awarded is up to Rs 20 lakh.

The areas most notorious for such bogus realtors are in Hayathnagar mandal and on the Vijayawada and Kurnool national highways. Some cheats based in Hayathnagar sell the same plots to different people.

News Published Under:   Hyderabad |

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