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Telangana RERA has fined Roy All Diamond Infra Developers INR 4.54 lakh for a fraudulent land deal involving a government employee in Hyderabad. The buyer paid INR 9 lakh for a plot in the "Kaasvi E-City" project, only to later discover that the land belonged to another developer and the RERA number was fake. RERA ruled that Nayak, who posed as a partner, misrepresented ownership and ordered a full refund with 11% interest. The authority also initiated a formal probe into the company's promoters. This case highlights growing concerns over misleading ads and fake RERA claims in Telangana's real estate market.
The Telangana Real Estate Regulatory Authority (RERA) has penalised Roy All Diamond Infra Developers with a fine of INR 4.54 lakh for executing a fraudulent land transaction involving a government employee from Hyderabad. Advertisement
The buyer had paid INR 9 lakh over multiple instalments for Plot No.43 in the "Kaasvi E-City" project located in Ferozguda. The total cost of the 150-sq-yd plot was quoted at INR 36 lakh. The transaction was facilitated by one Nayak, who claimed to be a partner in Roy All Diamond Infra Developers and signed an agreement for sale with the buyer. The agreement was finalised in early June last year, but communication from Nayak stopped shortly thereafter.
Unable to contact Nayak, the buyer carried out a title verification and discovered that the land was not owned by the developer but instead belonged to Suvarna Lakshmi Developers. Further investigation revealed that the RERA registration number printed on the brochure was also fake. These revelations led the buyer to approach Telangana RERA.
After reviewing the complaint and documents, RERA concluded that Nayak had fraudulently misrepresented himself as the landowner and developer. The authority determined that Roy All Diamond Infra Developers had violated key provisions of the Real Estate (Regulation and Development) Act, 2016, including Sections 11(4)(a), 12, 37, and 38. RERA then ordered the developer to refund the entire amount of INR 9 lakh along with 11% annual interest, payable within 30 days.
Beyond the financial penalty, RERA has directed its secretary to initiate a formal probe into the role of the promoters of Kaasvi E-City. The inquiry will investigate whether Nayak acted independently or with the knowledge and consent of the company's leadership. If it is found that the promoters were complicit or negligent, further action will be taken under applicable legal provisions.
This case comes amid rising concerns over misleading advertisements, unauthorised project claims, and fake RERA numbers being circulated in Telangana's real estate market. In similar recent cases, RERA has penalised multiple firms for layout and compliance violations, signaling its increasing vigilance and intolerance for malpractice.
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