Chennai realty firm Si Homes’ MD held for fraud
The Managing Director of Southern Investments Private Limited Ajith Thomas Abraham, 52, was arrested by Chennai city police on Thursday on charges of cheating huge amounts of money from investors. The Chennai based realty firm, Southern Investments Private Limited, constructs and sells apartment complexes and villas under the brand name Si Homes.
The police said that Abraham was arrested for allegedly cheating over Rs 13 crore from as many as 33 people in promise of selling apartments in one of their projects, Green Hill Heights that was under construction at Kudappanakkunnu near Peroorkada.
The complainants alleged that they paid over 90% of the price of the apartments in advance in the year 2010 when the works of the project started. It was promised that the finished apartments will be handed over to the investors within three years. But, this promise was never kept. Abraham managed to buy more time from the investors citing that the delay was due to unexpected financial crisis met by the firm.
The investors decided to file complaint with the police around three months ago. Even though the police registered a case, they gave Abraham some more time to either return the money or hand over the finished apartments, which he failed to comply. Following this, the police took him into custody from his office at Jawahar Nagar near Kowdiar on Wednesday night and recorded his arrest, charging him with sections 406 (criminal breach of trust) and 420 (cheating) of IPC.
Peroorkada sub-inspector R S Sreekanth informed that the case was registered with one Susheel Mathew, a retired employee of World Bank, as the main complainant. Since all the complaints were of similar nature and against the same person, all of them would be dealt as a single case.
Abraham has told the police that he did not have any intentions to cheat the investors purposefully and he could not keep the promise owing to financial crisis. Abraham was produced before the court on Thursday and was remanded in judicial custody.
In Thiruvananthapuram, the realty firm has 25 projects out of which Green Hill Heights is the 24th project.