Bengaluru Auditor Finds His Own Flat Sold to Multiple Buyers in Fraudulent Scheme

A Bengaluru man has filed a complaint with the Banashankari Police station after discovering that the flat he purchased for Rs 1.2 crore was already sold to another family. This case highlights issues of fraud and poor accountability within the real estate sector.

S Vidyasagar, an auditor by profession, bought one of the 20 flats in the RRBC Pratham apartment complex located in Banashankari II Stage. He finalized the purchase in March 2023, paying Rs 1.2 crore. Everything seemed to proceed smoothly until October 2023 when he was in the process of securing a loan for the flat. It was during this time that he learned that a sale agreement for the same flat had already been executed in 2021, long before he had bought the property.

Vidyasagar’s discovery did not end with his own flat. Further checks revealed that the developers, Rajarajeshware Builddcon Pvt Ltd, had sold six flats in total to multiple buyers. One of those flats was Vidyasagar's, while the other five were sold to different people. The developers had executed sale deeds for all six flats, but it was only when Vidyasagar went to the bank that he uncovered this issue.

He confronted the developers, Mitesh Sha, Ranjit Sha, and Harish Sha, the directors of the company, but was assured that the issue would be settled. Despite these assurances, no action was taken, and the matter remained unresolved. In response, Vidyasagar and the other affected buyers decided to take legal action and filed a complaint with the Banashankari Police.

The police confirmed that they have registered an FIR based on Vidyasagar's complaint. They are currently in the process of collecting relevant documents from the victims and suspects. Once the documents have been reviewed, the police will issue notices to the concerned parties and take their statements. The case is being handled carefully, with a focus on gathering enough evidence to pursue charges against the developers.

Vidyasagar, along with the other five duped buyers, has also placed a cautionary notice on the apartment building, alerting potential buyers about the fraudulent sale. The notice serves as a warning for anyone considering purchasing property from Rajarajeshware Builddcon Pvt Ltd.

The real estate sector in Bengaluru has been witnessing an increase in fraudulent activities, which continue to create challenges for buyers. Scams like this one show the lack of proper regulatory oversight in the market and the urgent need for more stringent regulations to protect consumers. Real estate buyers, especially in rapidly growing cities like Bengaluru, must remain vigilant and ensure that they conduct thorough due diligence before finalizing any transactions.

The case also underscores the importance of transparency in property deals. Developers must adhere to proper documentation processes to ensure that there are no overlapping or fraudulent sales. In this case, Vidyasagar’s situation could have been avoided if the developers had followed proper protocols and ensured that the flats were sold to only one buyer each.

As the investigation continues, the police are working to gather all the evidence required to file a chargesheet. This will be crucial in determining the full extent of the fraud and bringing the responsible parties to justice. Meanwhile, Vidyasagar and the other affected buyers are left dealing with the consequences of this mistake, which has disrupted their lives and led to financial losses.