A redevelopment project in Malad East under the Slum Rehabilitation Authority (SRA) has come under scrutiny following allegations of a Rs 275 crore financial fraud. Complaints have been filed with the Enforcement Directorate (ED) and the Securities and Exchange Board of India (SEBI), citing fund diversion, investor deception, and financial misconduct.
The dispute centres on property rights linked to the Khot Dongri redevelopment project, involving firms such as B Right Group and Shah Housecon Private Limited (SHPL). Authorities are examining claims that SHPL entered into multiple agreements and memorandums of understanding with different entities—including Royal Realtors, Jha Buildcon, and Salasar Developer—without disclosing prior commitments.
Investigators suspect that multiple rounds of fundraising were conducted for the same project, even after development rights had been assigned to lenders. This has raised concerns about overlapping claims and possible misuse of investor funds.
The Economic Offences Wing (EOW) is currently probing the case, with several FIRs filed against key individuals linked to the firms involved. Allegations include fraud, dishonest asset retention, and misrepresentation.
Spread across 5,600 square metres, the project intended for slum rehabilitation is now facing serious questions over financial transparency and regulatory oversight.
