Godrej Properties Faces CBI FIR Over Environmental Violation Claims, Denies Wrongdoing
One of India’s well-known real estate companies, Godrej Properties, has found itself in legal trouble after the Central Bureau of Investigation (CBI) filed a case against it. The company has responded by saying it is shocked and surprised by this development and insists that it has not violated any laws.
The issue revolves around a commercial project called Godrej Eternia, located in Chandigarh’s Industrial Area. Another company, Berkeley Realtech Ltd (now called RSA Motors Pvt Ltd), is also facing similar allegations. According to the CBI, both companies violated environmental laws while developing their projects.
What is the Case About?
The main allegation against Godrej Properties and Berkeley Realtech is that their projects were constructed within 10 km of two protected wildlife areas:
- Sukhna Wildlife Sanctuary
- City Bird Sanctuary
As per India’s environmental regulations, any construction within this eco-sensitive zone requires special clearance from the National Board of Wildlife (NBWL). However, the CBI claims that this clearance was never taken, making the projects potentially illegal.
This case started after a complaint was filed in 2023 by an official from Punjab Raj Bhawan (Governor’s office). Following this, the CBI conducted a preliminary inquiry and found enough evidence to file an FIR (First Information Report), which is the first step in a legal case.
Godrej Properties' Response: "We Followed the Rules"
Godrej Properties has strongly denied the allegations, saying that it never broke any rules and that the company has always followed proper procedures before developing any project.
The company pointed out that they had already received similar notices about this issue last year. However, they challenged those notices in court and argued that there is no blanket rule saying all construction within 10 km of a sanctuary is illegal.
Is the Project Really in an Eco-Sensitive Zone?
Godrej Properties claims that their project is not inside the eco-sensitive zone (ESZ). They referred to a 2017 Gazette Notification by Chandigarh’s administration, which set the ESZ boundary at just 2.75 km from the Sukhna Wildlife Sanctuary. Since their project is 6.6 km away from the sanctuary, they believe they are not in violation of any environmental laws.
They also argue that the High Court of Punjab and Haryana has previously stated that there is no fixed 10 km ESZ for Chandigarh. Because of this, they believe the CBI’s case does not have a strong legal basis.
Why is This Happening Now?
One of the biggest concerns for Godrej Properties is that the CBI’s case is coming 10 years after the project was completed. The company argues that at the time of construction, they had already received all necessary approvals, including:
- Occupancy Certificate (OC) – A certificate that confirms the building is legally ready for use.
- Consent to Operate (CTO) – A certificate required before starting operations in a commercial project.
Since they had these approvals, Godrej Properties believes they were legally allowed to proceed with the project. They feel that suddenly treating the lack of NBWL clearance as a criminal offense so many years later is unfair.
What’s Next for Godrej Properties?
Godrej Properties has assured its customers that it is taking legal advice from its lawyers and will take all necessary steps to protect the interests of its projects and investors. They are confident that the courts will recognize that they followed all legal requirements.
In their statement, the company also emphasized that they are a responsible developer with a strong track record of compliance with laws and government regulations. They assured that they will continue to cooperate with authorities to resolve this matter.
Why Does This Matter for Homebuyers and Investors?
This case is important because it highlights the complexities of real estate regulations in India. Many homebuyers and investors may feel concerned when a reputed developer like Godrej Properties faces legal troubles. Cases like these can affect:
- Property values – If the case leads to penalties or project cancellations, it could impact property rates in the region.
- Investor confidence – Buyers might become hesitant about investing in Chandigarh or similar projects.
- Future real estate projects – Developers might face even stricter regulations for environmental approvals in the future.
However, this is still an ongoing case, and Godrej Properties has stated that they will fight the allegations in court. The outcome will depend on how the courts interpret the environmental regulations and past approvals.
This case is a reminder of how real estate projects must carefully follow all environmental and legal guidelines to avoid future legal troubles. For now, Godrej Properties remains confident in its legal position and has assured customers that it will protect their interests. It remains to be seen how the courts will handle this dispute in the coming months.
