Pune: A 37,000-page charge sheet alleging that realtor Deepak Sakharam Kulkarni (DSK) had committed a fraud of Rs 2,043 crore was submitted by sleuths of Economic Offences Wing in the court of Judge JT Utpat here on Thursday.
Investigators claim there is much more to be revealed in the near future. The roles of six nationalised banks and their officials are under the scanner for irregularities and violations of RBI guidelines. Thirteen accused were detected in the case and six arrested including DSK and his wife Hemanti Kulkarni. As per the charge sheet nine companies were floated by DSK and his accomplices (mostly his relatives) to siphon off money collected from banks and 33,000 investors.
The police said bank officials were hand in glove with the accused as they sanctioned money in crores without checking credentials. Around Rs 711.36 crore was given by the six banks and the full amount was siphoned off. The first charge sheet states that the fraud of Rs 2,043.18 crore comprises Rs 1,083.7 crore deposits and loan, Rs 711.36 crore taken from banks and financial institutions, debentures of Rs 111.35 crore and Rs 136.77 crore from illegal sale of land at Phursungi.
Special Public Prosecutor Pravin Chavan said, “This is a ponzi scam and the money has been siphoned off to a great extent. Out of Rs 711.36 crore sanctioned by the banks, amount of Rs 477.36 crore was sanctioned for Dream City project but not a single penny was used there and most of it was siphoned off.”
“Bank officials were involved in this scam. They gave money to DSK without following the RBI guidelines. They should have taken precautions and checked whether he has returned money taken from banks. If his account became non–performing asset then why banks sanctioned the loan,” added Chavan.
Sudhir Hiremath, Deputy Commissioner of Police, Economic Offences Wing, said, “The fraud committed by DSK was a conspiracy. The money was collected from people fraudulently with proper planning for personal benefit. This is the first charge sheet in this case and the fraud amount has reached Rs 2,043.18 crore. There are more layers to this fraud.”
“We have submitted the 37,000-page charge sheet with all available evidence. It took us seven days to print the five copies of charge sheet,” added Hiremath.
ACP Nilesh More, who is also part of the inevstigation, said, “The money from investors was not taken for business but for personal gain.”
At a Glance
Total number of depositors: 33,000
Depositors who filed complaint: 6,792
Fraud mentioned in first charge sheet: Rs. 2,043.18 crore
Total of Rs. 2,043 cr includes:
Deposit and loan fraud: Rs. 1083.7 crore
Banks/ Financial Institutions fraud: Rs. 711.36 cr
Debentures fraud: Rs. 111.35 crore
Phursungi land sale fraud: Rs. 136.77 crore
Scam started in 2006
Total bank accounts: 269
Number of banks which granted loans: Six nationalised banks
The partnership firms formed by DSK under the same logo of DS Kulkarni Developer Ltd
- DS Kulkarni and Sons
- DS Kulkarni Company
- DS Kulkarni and Associates
- DS Kulkarni and Asso
- DS Kulkarni Constructions
- DS Kulkarni Enterprises
- DS Kulkarni and Brothers
- DSK and Sons
City loan fraud
Out of Rs 711.36 crore sanctioned by six banks, Rs 477.36 crore was sanctioned for Dream City project. Around Rs 170 crore of the amount was spent on the project and the rest was siphoned off.