Nagpur: Mahadeo Land Developers Private Limited, a company established by the notorious swindler Pramod Agrawal of Nagpur, is at the centre of a major financial scandal. Agrawal is accused of deceiving hundreds of investors through a fraudulent money-doubling scheme. The company possesses a land bank of at least 2.8 lakh square feet, fragmented into 137 distinct plots, each ranging from 1,000 to 5,000 square feet, local media reported.
Starting next month, the land will be auctioned off in phases to recover funds for the defrauded investors. A preliminary examination of the Official Liquidator’s (OL) list reveals that the reserve price for these plots ranges from Rs 5.5 lakh to Rs 13 lakh on average, with some plots having a higher reserve price of up to Rs 39 lakh. The OL has prepared a list of plots in various locations including Hingna, Isasani, Dhamana, and Kaldongri in Nagpur, as well as other districts like Jalgaon and Amravati.
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Monday 04 Nov. 2024
Recently, Pramod Agrawal, who is currently out on bail, appeared before the local media and urged investors to submit their claims to the OL by Tuesday, July 30, the last date for submissions. Despite the submission window being open since July 1, Agrawal’s appeal led to a rush of investors trying to recover their funds at the last minute.
Agrawal also revealed that he has received a demand of Rs 200 crore from the Income Tax Department, stemming from a raid on his business establishment in 2009. He intends to file an appeal against this demand, claiming, “It’s the investors’ money which has been taken into account by the department, not mine. The tax demand has been wrongly generated.”
The scene at the OL’s office on the final submission day was reminiscent of the crowds that had gathered at Mahadeo Developers’ office in Gandhibagh in 2009, demanding the return of their money. Among the crowd was an elderly woman in her late sixties, assisted by her son. She shared her family’s ordeal, stating, “We have lost Rs 50 lakh in the Mahadeo Developers’ scheme. My husband had pooled in his retirement funds and other savings, trusting Agrawal, who promised to double the amount. The family was devastated after he failed to pay back even the principal amount.”
Her son, requesting anonymity, added, “We have recently settled a land dispute, and the other party may ask for more if they know that we might get the money invested in Mahadeo back.”
The auction of Mahadeo Land Developers’ properties marks a significant step in the ongoing effort to recover funds for the defrauded investors. The process will be closely watched by all parties involved, as they seek justice and restitution for the financial losses they have endured due to Pramod Agrawal’s fraudulent schemes.
