Bengaluru real estate firm winds up overnight, owner absconding; site aspirants left in lurch

A real estate firm has closed down overnight and its owner gone absconding, leaving hundreds of site aspirants in the lurch.

Hundreds of people, who reportedly invested in Brundavan Properties Pvt Ltd to purchase sites, gathered at its offices in Rajajinagar 3rd Block on Thursday evening and held a flash protest after learning that the company had wound up and its promoter and staff were missing. Rajajinagar police, however, dispersed them.

The company, owned by one Dinesh Gowda, is said to have collected Rs 5 crore from the public by promising them BDA-approved sites at affordable rates in Tavarekere, Hesaraghatta, Nelamangala, Kanakapura and other places. The working class, specifically labourers, auto-rickshaw drivers, cabbies and garment factory workers, invested the money, paying it in instalments.

Many of them had made the full payment and were waiting to register the sites when they got the news about the company's shutdown. The company is said to have put off the registration for more than a year citing the pandemic.

Among the victims is Lalitha, a garment factory worker from Rajajinagar. She said she had paid Rs 5 lakh in instalments for a site in Tavarekere. "I learnt about the company's closure in the news," she said.

The site aspirants are now filing police complaints. Lalitha said police had asked her to bring the documents showing the money paid to the company and file a complaint.

Dharmendra Kumar Meena, Deputy Commissioner of Police (North), confirmed that many people were filing complaints. A case has been registered against the company under the Banning of Unregulated Deposit Schemes Act.