MADURAI: The Madurai Bench of the Madras High Court on Monday sought a response from Madurai Economic Offences Wing (EOW) on a batch of petitions filed by NEOMAX and its subsidiary companies seeking direction to appoint a commission headed by a retired high court judge for settlement of lands to the depositors.
The said companies, which are involved in the real estate and property development business, are presently facing a financial fraud case. According to the prosecution, the petitioners cheated several investors into depositing lakhs of money in various projects (plot development) by promising high returns with 12% to 30% interest. But they failed to fulfil their promise, following which some of the investors lodged a complaint before the Madurai EOW police.
However, the petitioners claimed that they never promised high returns. We only promised the customers that whatever the money paid to the company in advance to the sale consideration and that the lands would be registered in their name upon the payment of the entire sale consideration, the petitioners added. They further stated that the NEOMAX Group has so far got DTCP approval for 9.79 crore sq ft lands in 16 layout projects in Tamil Nadu and has executed sale deeds to an extent of 1.95 crore sq ft of residential and commercial plots to 15,000 customers.
They have remaining lands to an extent of 4.12 crore sq ft lands ready to register and sought the above direction to help them disburse the lands to eligible depositors. Justice D Nagarjun directed the EOW officials to file a counter affidavit in the matter by the next hearing on August 22.