Director of PARSVNATH DEVELOPERS LIMITED Pradeep Jain is registered with the Ministry of Corporate Affairs (MCA) with the identification number 00333486. He is a resident of Delhi, India’s Central Delhi.
Pradeep Jain now holds directorships with Parsvnath Film City Limited, Ph.D. Chamber Of Commerce And Industry, and four other companies. joins Parsvnath Developers Limited as a Full-Time Director.
2,193,406,000.00 is the combined paid-up capital of all the firms in which Pradeep Kumar Jain has active stakes.
Pradeep Jain was previously associated with 22 companies, Amazon India Limited, Surya Food And Agro Limited, Parsvnath Telecom Private Limited, Parsvnath Infra Limited and many others.
According to an official familiar with the situation, financially strapped real estate developer Pradeep Kumar Jain Parsvnath Developers intends to fund Rs 200 crore by offering private equity investors’ interests in several of its projects.
According to the official, the company is in discussions for the same with renowned PE funds like Red Fort Capital and SUN-Apollo.
The executive claims that Pradeep Kumar Jain Parsvnath Developers is seeking funds to finish six of its projects and pay off its debt. The projects are located in Chandigarh, Noida, Ghaziabad, and Delhi. The corporation owes a total of Rs. 1,500 crore in debt.
To finish the opulent residential complex La Tropicana in Delhi, Pradeep Kumar Jain Parsvnath Developers received Rs 115 crore from Red Fort Capital in two installments last year. In order to raise Rs. 168 crore, in the previous financial year, the business sold its shares.
Pradeep Kumar Jain Parsvnath Developers had earlier said it planned to cut its debt by Rs 520 crore in the next two years.
The Reality of Pradeep Kumar Jain Parsvnath Developers
What is the actual reality of Pradeep Kumar Jain Parsvnath Developers is that he is nothing more than a scammer who misappropriates the lifetime earnings of thousands of flat buyers by neither delivering the flats nor refunding the money. Supposedly siphoning off funds abroad. telling the SC—No Money for Refund—after most projects had collected 95% of the funds.
Delhi Court Releases Real Estate Company Directors on Bail in Case of Cheating
The Pradeep Kumar Jain Parsvnath Developers directors came before the court in response to a summons filed against them earlier in the case of cheating and criminal breach of trust, and Metropolitan Magistrate Dev Saroha granted them bail on Saturday.
The directors of a real estate company accused of defrauding an associate professor of 10 lack after pledging to offer him a flat in one of its housing projects that lacked official approval have been granted bail by a Delhi court.
Pradeep Kumar Jain, Rajeev Jain, and Sanjeev Kumar Jain, the directors of Parsvnath Developers, appeared before the court in response to a summons issued against them earlier in the case of cheating and criminal breach of trust, and Metropolitan Magistrate Dev Saroha granted them bail on Saturday.
Dr. S. K. Goyal, a professor at Delhi University, said in his complaint that the accused tricked him into paying money for a real estate project in Delhi for which the Pradeep Kumar Jain Parsvnath Developers Group lacked approval. The case was filed by attorney Namit Saxena.
What do you know about Money Laundering?
Criminals are largely driven by the potential financial gain from unlawful activity, yet they have difficulty using this money covertly. Their method of making illicit riches appear legal is money laundering. It’s a significant instrument for many illicit operations, including cocaine trafficking and terrorism, assisting criminals in growing and upholding a façade of legitimacy. Unchecked, it can undermine confidence in financial institutions and finance other illegal activities, such as violence and terrorism. Essentially, money laundering gives criminals a way to conceal their illicit profits, which poses a severe threat to both the banking system as well as society at large.
On the basis that they were not detained during the course of the investigation, the court granted the accused relief in exchange for sureties of 50,000 apiece.
The Delhi Police conducted an investigation before submitting a charge sheet to the court against the corporation and its directors.
After appearing before the court on Saturday, the accused—who had been summoned by the court after the judge had taken cognizance of the charge sheet—moved a bail plea.
Saxena, who claimed that the accused had defrauded other persons of millions of rupees, challenged the application.
What is Money Laundering?
Money laundering is the illegal process of making large amounts of money generated by criminal activity, such as drug trafficking or terrorist funding, appear to have come from a legitimate source. The money from criminal activity is considered dirty, and the process “launders” it to make it look clean.
Money laundering is a serious financial crime that is employed by white-collar and street-level criminals alike.
Most financial companies today have anti-money laundering (AML) policies in place to detect and prevent this activity.
Let’s say a drug dealer wants to purchase a new car with money acquired illegally from selling drugs. The dealer must launder the money to make it seem legal because it is challenging and suspicious to try to buy a car in full cash. The drug dealer also operates a small laundromat, a venture that requires a lot of cash. The money from the heroin transaction is mixed with the money from the laundromat before being taken to a bank for deposit. The dealer can then purchase the automobile without raising any suspicions by drawing a check from the laundromat’s account.
Another common form of money laundering in casinos is to buy chips from the casino with cash, and to receive checks in return for the chips from the casino, often without gambling at all or placing minimal bets.
Key takeaways
- Money laundering is the criminal practice of disguising “dirty” money as legitimate rather than having been obtained illegally.
- To make money that has been obtained unlawfully appear legitimate, criminals employ a wide range of money-laundering strategies.
- Cryptocurrencies and online banking have made it simpler for crooks to move and withdraw money covertly.
- The fight against money laundering has spread internationally, and one of its current objectives is the financing of terrorism.
- Additionally, the financial sector has put in place a comprehensive set of stringent anti-money laundering (AML) controls.
Anti-Money Laundering
The goal of anti-money laundering (AML) is to strip criminals of the proceeds from their illicit businesses, removing their primary incentive to carry out such evil activities. Millions of individuals throughout the world are put in danger by illegal and risky operations like drug trafficking, people smuggling, funding of terrorism, smuggling, extortion, and fraud. These activities also have a significant negative social and economic impact on society. In light of the fact that money laundering serves to legitimize the proceeds of such crimes, the fight against money laundering may significantly benefit society by reducing criminal activity.
How money laundering is used in real estate?
The undervaluation or overvaluation of properties, the buying and selling of properties quickly after one another, the use of third parties or businesses to keep the transaction separate from the illegal source of funds, and private sales are some methods that are frequently used by criminals to launder money through real estate transactions.
What are the common real-estate scams?
People buy real estate as investments in the current system to ensure a secure future. Property is one of the best investment options since it provides the highest profits over an extended period of time. However, as more individuals become interested in purchasing real estate, the more they become victims of real estate fraud.
Property purchases made as investments are made after doing market research. Most individuals fall for this property-buying scam, losing their money in the process. One must carefully study market analysis and other concepts in order to prevent these frauds and scams. Let’s look at the most typical types of property fraud and how to prevent them.
Typical Indian Real Estate Scams
Over the past few years, India’s real estate industry has exploded. But because there are no laws against property fraud, real estate fraud has increased.
One of the most important purchases anyone ever makes is real estate. Sadly, this makes real estate a popular target for con artists. Being extra cautious about scams is especially important if you are buying or selling real estate. The following are a few of the typical real estate scams that continue to occur.
Real Estate Registration Fraud
Both property developers and sellers are subject to fake property registrations. In this kind of real estate fraud, the con artist will fabricate property title documents and claim ownership of the property. There have been multiple instances where con artists copied title deeds for abandoned or contested properties and sold them to purchasers. Scammers typically target estates that have been empty for a while or whose owners have left the country. They strive to sell and persuade easy buyers after producing the papers. When the deception is discovered, the con artist and the money have already vanished.
Trick and Bait
Bait and Switch is a dishonest sales technique in which customers are drawn in by an advertisement that promises a fair, affordable benefit. They are persuaded to invest in a property that is significantly more expensive than what is depicted in the advertisement. Most of the objections related to this project are focused on houses listed for rent or sale. Scams of this nature have been prevalent online for quite some time. To avoid this phony and dishonest process, extreme care must be used. Make sure to keep a watchful lookout for any questionable activity online. To be safe, make sure to double-check all the paperwork before buying any land.
Review the reputation and track record of the estate builder, study the details of the property, including the possession details, and never hesitate to ask questions before purchasing any property.
Abandonment of authorized Plans
One of the primary problems buyers today face is a deviation from the approved layout. The limitation is up to -5% or +5% of the accepted plan, although a minor modification is acceptable due to inescapable technical or architectural issues. The developer or builder will constantly be threatened with the demolition of that property if the development authority does not approve of the performance. Because of the unfair restrictions and fraud, a buyer must alert the seller in such circumstances and lodge a protest. Additionally, the buyer of the property has the right to demand reimbursement from the developer or builder if they have erred.
Delays in the project that force cancelation
A developer of real estate could unduly postpone the completion of a project that was previously sold at a discount in order to induce cancellations. The purpose of this is to allow the builder to resell them more quickly. It could also happen if the client pays Installments later than expected.
Even though a property’s builder is well within their rights to cancel the contract, they must do so in accordance with the stipulations and conditions laid down in the sale contract, according to RERA Section 11 Subsection (5). The Act further states that if the allottee is unhappy with the cancellation, they may request the right to pursue comfort.
Unreported property damage
Additionally, you can fall for a scam involving concealed property damage. In this case, the officer assessing the property can purposefully conduct a preliminary inspection while lacking the necessary inspection abilities. However, the ultimate result is a report that (intentionally or unwittingly) overlooks faults or issues, and the customer ends up buying a house that needs unforeseen repairs.
Selling the same item to various customers
It is a scam that occurs daily. Typically, the same apartment is sold to various customers before the builder leaves the area after the sale.
When a property has been sold to two distinct owners, one of them may sometimes be the owner and the other may hold the power of attorney. This leads to trouble down the road.
Guaranteed returns
Builders occasionally promise a return on the initial investment of up to 12- to 14 percent up until the time of ownership. Additionally, the builders offer outdated reviews. The buyer believes the security to be adequate, but as the checks start to bounce, a problem arises. You’re not being duped by every builder or developer who offers it. The majority of builders do a fantastic job and provide consumers with sturdy homes. But the buyer needs to be on the lookout for these frauds.
False assurances
Incentives from builders are generous for speedy purchases. Ownership contract pledges may differ from what really occurs. Keep an eye out for these kinds of estate offerings, therefore.
Prolonged Ownership
The most common yet obvious approach to discovering the outcome of real estate fraud is through delays. The wait continues for years after submitting an application for the necessary funds. In addition to minor real estate initiatives, big real estate projects might also experience ownership delays. Look up additional details on the RERA website before making any real estate purchases. There is always a date of ownership so that investors can plan their investments.
Guidelines For Avoiding Indian Real Estate Scams
Real estate scams are widespread, despite the fact that today’s investors are more informed and aware of the basics. Everyone has experienced real estate fraud, from high net-worth investors to NRIs, top corporate executives to rural residents. There are techniques to avoid scams, even though they cannot be entirely eradicated. We’ll see how.
Verify the track record of the builder.
Make sure to investigate the builder’s reputation and track record. Find out about the builder’s past projects and how many they have done. Analyze the brand’s worth and the project’s completion technique used by the builder. See if there were any problems. Inquire about the rewards from the investors who have already contributed to the project.
Go deep
The old adage “The devil is in the details” is true when buying a property; therefore, one must attempt to learn every little aspect of the estate. Examine the estate’s title of ownership, and if there is a dispute, try to learn more about the property’s past.
If the estate is being built:
- Check all the details and ask the developer about the Builder-Buyer contract.
- Verify that the developer possesses all required licenses.
- Recognize the reason for the delay and confirm that the developer is being penalized fairly.
When the estate is prepared to be moved:
- Find a knowledgeable agent to ensure seamless transactions.
- Examine all the necessary paperwork.
- For details on payments and sales, consult the Contract.
Selecting the banks’ authorized projects
Banks carefully consider each estate before authorizing it. To be on the safe side, it is wise to buy a property that the bank has already approved.
Get the Agreement in Writing
Always have contracts in writing because this will serve as confirmation of the particular terms stated before and after investing. Therefore, choose a written contract because it can serve as proof in case of any doubt.
Get Professional Assistance
To ensure a seamless transaction, it is imperative to get legal assistance if someone lacks sufficient competence. Always look for qualified assistance from an accomplished attorney. You can use it to protect yourself from uncertainty and scams.
Bottom Line
It’s important to conduct adequate market and other key point research before buying a property. Although fraudsters are smart, you may be smarter. One option is to wait for the plan to become more effective at getting rid of these infractions. The other option is to keep safe by carrying out your study and other tasks correctly. Consulting with a property lawyer can be quite helpful if you want to buy a property as an investment and need to obtain important property information. A real estate lawyer who focuses on property law can offer advice and support all throughout the process of buying a home, ensuring that your interests are safeguarded and that all legal requirements are completed.
