Noida Authority calls for EOW probe into financial misconduct

NOIDA: The Noida authority has lodged complaints with the economic offences wing (EOW), Delhi, against Shubhkamna Buildtech and IVR Prime Developers, requesting an investigation into their financial activities for potential economic violations.

Officials said that both companies have allegedly engaged in financial misconduct and fund misappropriation, causing distress to homebuyers while leaving the authority struggling to recover land dues. Additionally, the authority has requested the Gautam Budh Nagar district administration to issue a recovery notice of ₹57.65 crore against Sethi Buildwell for outstanding payments related to their Sector 76 housing project.

“We have recommended an EOW probe and also issuance of recovery notice against one of the realty firms as per the rules. Our motive is to deliver justice to homebuyers and also recover dues,” said Lokesh M, chief executive officer, Noida authority.

The authority allocated a 22,565.77 square metre plot to Shubhkamna Buildtech on March 23, 2010, for their Shubhkamna Tech Homes project. Land possession was granted on August 20, 2010, following a July 2010 lease agreement. The project, comprising 692 apartments, has outstanding land cost dues of ₹165 crore. The developer has failed to clear dues or complete the project despite numerous notices.

The authority claims project promoters Mukesh Khurana, Diwakar Sharma, Kamal Singh Rothan, Harish Kumar, and Piyush Tiwari created third-party rights through flat sales and misused funds without authority deposits.

A formal complaint was submitted to the EOW, Delhi, on January 27, 2025, requesting an investigation into financial irregularities. The authority has also requested recovery notices against Sethi Buildwell Private Limited, which acquired 20,000 sqm of land on June 9, 2010, for the Sethi Max Royal project in Sector 76. Of 726 sanctioned flats, 455 are registered, leaving 281 unregistered. The developer has ₹57.65 crore in outstanding dues. The authority has requested the Gautam Budh Nagar collector’s help to recover dues as land revenue, emphasising the importance of safeguarding homebuyers’ interests.