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Mumbai, 30 June 2016: Hundreds of savvy and well-educated flat buyers have purchased "luxurious" flats in RNA Exotica without noticing what their sale-purchase agreements clearly says: that RNA Exotica is actually a large and shabby slum rehabilitation scheme with a tiny island of rich flat-buyers. The rich people's housing project is married and tied to the rehab component in the same undivided compound -- a marriage made in hell! Not just RNA Exotica's sale-purchase agreement, but also project layouts and plans presented to MOEF, give a birds-eye-view of this nightmarish neighbourhood. With clever advertizing, a tight-lipped sales staff, and several clauses in the sale-purchase agreements that forbid investors from asking the right questions, RNA Corp has been consistently misleading its investors for many years. A prospective home-buyer never gets to read the true facts before he is inside the builder's trap!

So let us take a close look at all the ugly truths that the sale-purchase agreement reveals. As a specimen, take the sale-purchase agreement of actor Arif Zakaria (Flat no. 1903, D-Wing).

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NINE WAYS THE BUILDER SCREWED YOU:

  1. RNA Exotica is a Apartment and Slum Rehab Project in a single compound, so you can't object to general public and outsiders in your compound. The agreement makes sure that flat-buyers will have no right in future to object to the rehab building and car park constructed adjoining RNA Exotica, in the same compound. This clause tells flat-buyers in no uncertain terms that the public parking being constructed on the rehab building is not available for their cars. Read this on page 13 and this on page 21 of the registered agreement. So, the proud flat purchasers should know from this clause that their building compound is only semi-private, unlike most of the apartment compounds that are completely private.

  2. RNA Corp can construct anything on top of your flats, so keep quiet and mind your business. The agreement gives the builder the unlimited right to build anything on top of the "top floor" flat, and the flat-purchaser must keep mum about it. In other words, the builder can continue to commercially exploit any increase in FSI or any changes in rules, even if it causes great delay, inconvenience and losses to the flat-buyers, and the only thing that they can do is smile and feel privileged about owning a luxury flat in RNA Exotica.

  3. RNA Corp can construct servants' toilets, septic tanks, electric sub-stations, closed garages, etc. etc. anywhere in the compound or in the building, so shut your nose, mouth and ears.The ground plans or floor plans shown in the agreement can and will be extensively changed to suit the builder's requirements, and this is plainly stated in the agreement itself. All kind of noisy, smelly or intrusive structures can and will be constructed in various parts of the building and compound where you live, including the same floor where you live, but you cannot object on any grounds because you have signed on an agreement that ties your hands. Your rights as a flat-buyer are restricted to the premises that you have purchased, and not, as is the case in other building projects, the common amenities.

  4. RNA Corp can and will create third-party rights and entitlements to various parts of your building and compound, including clubhouse and various parts that you may mistakenly consider as your common amenities. Read this point carefully again, and you will see that this clause is not just a routinely-drafted formality, but is cleverly drafted to take away all your legal rights.

  5. RNA Corp can decrease the common areas and facilities in your building, and you waived your right to raise any objections.People book luxury apartments not just because of spacious flats, but because of spacious and well-designed common amenities and facilities. These amenities and common spaces are factored into the price of the flat as "super-built-up area". But, after paying lakhs of rupees up front to book a flat in RNA Exotica, buyers are informed by their registered agreement on page 37 that the common areas cannot be taken for granted, and they have no right to object!

  6. You unknowingly gave a power-of-attorney to RNA Corp to sign legal waivers on your behalf before all government authorities, without even informing you. According to this clause, the developer need not consult you or even inform before making big or small changes in the plans, because he can always sign an indemnity or undertaking on your behalf to tell the government that you are OK with anything that he does!

  7. You have surrendered your right to independently verify title and ownership of the plot of land on which RNA Exotica is built... because agreement says you have already verified it and satisfied yourself! Mr flat-buyer, when you signed on every page of the agreement in the Stamp Duty Registrar's office, you definitely were not looking for tricky clauses like this one. But here is a clause on page 17 and another on page 25 that says that you have already verified the title and satisfied yourself, and now you have agreed not to investigate any further, or raise any objections.

  8. Possession date is deliberately left blank. Therefore, you have no way of holding RNA Corp accountable for delay of several years, although there is technically a clause for delays. Read this clause on page 37 and its continuation on page 39.

  9. RNA Corp can allot you car parking according to their own sweep pleasure, and you cannot object. The builder may allot you a really shitty parking in the basement, podium or stilt, and the builder may sell favourably-positioned parkings to others. You have no right to object. Read this clause on page 41.

So, Mr and Mrs Flat Purchaser, it is only in theory that you bought a luxury apartment in RNA Exotica. Your luxury apartment exists only in pretty advertisements. The fact is, you just bought a 2BHK or 3BHK in a shitty slum rehab neighbourhood overlooking the railway tracks, and you signed up on a document that says that you have no right to keep the people of your neighbourhood and sundry public from accessing your compound... and you have no right to object to this entire scheme of things. The only thing you can say now is, "It was nice being screwed by you, Mr Anil Aggarwal."

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Sincere thanks to Sulaiman "Superman" Bhimani (9323642081) for his continuous detective work, which enabled and motivated me to write this article.

ISSUED IN PUBLIC INTEREST BY

Krishnaraj Rao

9821588114

krish.kkphoto@gmail.com

The Election Commission has issued notice to Ashok Chavan for fudging poll expenses and asking him why he should not be disqualified (a pointless question, me thinks - what possible answer could be there?).

"The commission is of the considered view that respondent (Ashok Chavan) cannot validly claim ignorance about the publication of the above-mentioned 25 advertisements in which his name, the name of his constituency and also his photograph prominently appeared."

If you remember, this was the case broken in The Hindu by Sainath and others in 2009 that put "paid news" on our attention maps (leading to further delicious scandals, but little action).

A quick reminder of the creative accounting involved:

 

Ashok Chavan (of Adarsh Scam fame) submitted election expenses to the Eletion Commission of India stated that he spent less than 7 lakh on his total election campaign, inluding Rs. 5,379 on newspaper advertisements (for 6 ads in one minor daily) and Rs.6,000 on cable television ads. Burst out laughing, didja? The Hindu stated that it had collected 47 full page color advertisements in newspapers (including at least one full front page and major dailies ) like Lokmat (which is among the 10 largest newspapers in India and top in Maharashtra -NRS 2006). Essentially, Chavan submitted acounts that would give him a full color page in a newspaper for less than Rs. 200.

It opened a whole new can of worms that culminated in the Supreme Court drawing the line and issuing a deadline in the peak of the Election frenzy.

P. Sainath and others in The Hindu had covered painstakingly over a series of 21 exposes dogging every development in the case and collecting full page after full page of color advertisements in investigations, with this notice to Ashok Chavan.

It is unclear what reply the Election Commission now expects, but no surprises are anticipated and we may finally see a precedent that sets they way for further action in controlling this open secret of media-political corruption.

Absurdly, Ashok Chavan seems to have lost his sanity, as he seems to see himself being found guilty a vindication of the Congress stand - whatever that means, since the Congress had actually tried to disempower the Election Commission to protect him - and failed. For what it is worth, this is what he reportedly said:

"Our stand on the paid news issue has been confirmed by the Election Commission. Even the High court and Supreme court had taken a similar stand when our opponents had filed a petition. The courts had rejected their petition. Now this (EC) order is also very clear. There is no question of paid news,"

Or perhaps he means that he has been found guilty of fudging his bills for paid advertisements and not news. One never knows what fig leaf a politician will grab.

This comes at a particularly sentimental moment, as P. Sainath, the senior journalist who broke the case ends his career at The Hindu with a sense of closure on one of the major long investigations he did there.

Disclosure: I manage P. Sainath's blog with his writing in a technical and administrative capacity.

7

While AAP is busy distracting from the nature of accusations against Nitin Gadkari by suffering more damage than him and talking about that suffering rather than multiple-DIN Nitin Gadkari (it is an evil denounced by the BJP with much outrage), it is a good time to put them up again and leave readers to decide whether this is corruption or an innocent being defamed with false accusations.

These are direct extracts from investigative reporting by media houses. Nitin Gadkari is welcome to sue them for defamation as well.


This is IBNLive

Nitin Gadkari aides including ex-driver were directors in 26 companies

Days after revelations of Bharatiya Janata Party (BJP) President Nitin Gadkari's former driver being the director of some of the alleged benami companies that funded Gadkari's company, CNN-IBN has now accessed more documents. The documents show that four of Gadkari's very close aides, including his former driver and accountant, have been directors in at least 26 companies and that too within a period of the past four years.

Gadkari's former driver, Manohar Panse was a director in 11 companies between 2009 and 2011. Gadkari's very close aide, Kawdu Zade, has been a director in 16 companies in the same period. Purti employee Nishant Agnihotri has been a director in 13 companies.

A very close aide, Sagar Kotwaliwale has been a director in 9 companies. Like the controversial Purti Sugar and Power Private Ltd. in Nagpur, there are three more companies controlled by the 4 close aides of Gadkari.

CNN-IBN had on Thursday also accessed details of one of the alleged shell companies that invested in Gadkari's Purti Group. Regency Equifin Pvt Ltd interestingly has Gadkari's accountant Kawu Zade and other employees in Purti as directors.

Also, records show that Regency Equifin both borrowed from and lent money to Gadkari. The company bought shares worth Rs 4 crore in Gadkari's Purti Group in 2008. The 2008-09 balance sheet of Regency Equifin shows Gadkari gave unsecured loans of Rs 26 lakh. In 2011, the balance sheet of Regency Equifin shows that the loss-making Purti gave Rs 95 lakh to it.

The Income Tax department on Thursday began probe into Purti Power and Sugar Ltd (PPSL). I-T authorities said they will also probe source of funds of the 18 companies that invested in Purti. Prima facie evidence suggested that shell companies had invested in Purti. Sources said that if necessary Gadkari might also be summoned in the case.

"I-T departments of Mumbai and Pune have started their probe into Gadkari's Purti Power and Sugar Ltd," sources said. The agency is also expected to submit a report to Central Board Direct Taxes (CBDT) soon.
The 18 companies will be summoned in due course. I-T department sources said that it would be very difficult to prove the quid pro quo. "If necessary Gadkari might also be summoned but that call will be taken by investigating officer in due course of the probe. I-T has already started gathering documents relating to these companies," said sources.

"We will trace the source the funds of the companies including the 18 companies that invested in Purti," a top I-T official said on condition of anonymity. He said prima facie 'shell' companies (inactive firms used as a vehicle for various financial manoeuvres or kept dormant for future use in some other capacity) had pumped money into PPSL.

Gadkari is at the centre of a raging controversy over funding of PPSL with media reports claiming that major investments and large loans to Purti were made by Ideal Road Builders (IRB) group, which had won contracts between 1995 and 1999, when the BJP chief was PWD minister in Maharashtra.

Reports also claimed that shell companies were floated for making investments and their fake addresses were submitted to the Registrar of Companies. On Tuesday, Corporate Affairs Minister Veerappa Moily had said that Registrars of Companies would inquire into the allegations. On his part, Gadkari has denied the allegations and said he was prepared for a probe.


Here's more from BJP's oh so loyal Times Now.

Here. One more from Times Now


Here NDTV finds that these supposed directors may not be aware of being directors and address provided for firms are fake.

Astrologer, driver are directors of investor firms for Nitin Gadkari's company

Through a partly opened door Manisha Sharma said, "My husband Vishnu Sharma is an astrologer. He works from home, looking at people's horoscopes. He does not work anywhere else." Mrs Sharma was responding to questions about her husband's links with BJP president Nitin Gadkari. Mr Sharma himself, his wife said, was away in Jaipur.

Vishnu Sharma is listed as a Director in Ashwami Sales and marketing and Earnwell Traders, both of which have bought over Rs. 5.5 crore worth of shares in Mr Gadkari's Purti Group. According to documents filed with the registrar of companies, Mr Sharma was appointed a Director of Ashwami Sales and Marketing in June this year.

Ashwami shares its company's address with two other entities - Earnwell Traders Private Limited and Swiftsol India Private Limited. But none of these companies exist at the address, 10 Govind Karman Chawl, in suburban Mumbai's Malad. It's the residence of the Soni family since the last 15 years.

Earnwell and Swiftsol together own about Rs. 5 crore worth of shares in Purti.

Ever since NDTV exposed mystery companies that have invested in Nitin Gadkari's Purti Power and Sugar Private Limited, more details of these companies and its Directors are emerging everyday.

All of them point to the loopholes in Mr Gadkari's defence. On Saturday, when NDTV broke the story of mystery investors in his Purti Group, Mr Gadkari had said his investors are friendly businessmen and professionals who he turned to fund his company.

Nitin Gadkari had said, "Any individual can purchase any share from any company. Basically there are 10,000 farmers. The farmers are the members of Purti. Now on that equity it was difficult to get the loan, so we approached many people from society - industrialists, traders, businessmen, investors."

But what is emerging is that investor companies have as their directors astrologers, Mr Gadkari's personal aides and his own driver Manohar Panse. One of these companies is Ashwami, the same which has Vishnu Sharma, the astrologer as its Director.

When NDTV went to the residential address of Mr Panse in Nagpur, given by the company to the Ministry of Corporate Affairs, we were told that he did not live there. He lives exactly opposite, in Wada, Mr Gadkari's' home in Nagpur. Today though Mr Panse, we were told, was not there.

Instead, we met his son who said he had no idea if his father was a Director in one of the companies that had invested so much money in Mr Gadkari's company. Amit Panse said if his father was made Director, it was because he has been working loyally for Mr Gadkari for 22 years.

Panse was also a Director at one point in another mystery company All Wise Finvest. This company has bought shares worth Rs. 3 crore into Purti Power and Sugar Private Limited.

False addresses, directors who are personal aides, directors who are clueless about the existence of these mystery companies - all raising questions about the sources of funding of Purti Group.


So here is the icing on the cake of these investigations. Threats to Income Tax officers. This would be Economic Times.

Nitin Gadkari threatens I-T officials investigating Nagpur-based Purti Group

A bellicose Nitin Gadkari on Thursday threatened revenge against Income Tax officials, who are investigating his controversial dealing with the Nagpur-based Purti Group. A day after the sangh parivar capitulated to outraged public opinion and handpicked Rajnath Singh to lead the BJP, Gadkari warned the tax officials of "retribution" when a government headed by his party takes over the Centre.


Financial jugglery appears to be an open secret. Here's what the Commission of Inquiry on the Adarsh Housing Society found according to The Hindu. Of course, Maharashtra Cabinet scrapped the report right off the bat.

Gadkari aides figure in benami transactions

A firm, of which MP Ajay Sancheti’s brother Abhay is director, financed 8 buyers in Adarsh

The Commission of Inquiry on the Adarsh Housing Society has found 22 transactions to be benami, eight of the buyers having been financed by the San Finance Corporation, of which the BJP Rajya Sabha member Ajay Sancheti’s brother Abhay is a director. The Sanchetis are considered close aides of the former party president, Nitin Gadkari.

All 22 transactions are barred under the Benami Transaction (Prohibition) Act 1988, says the report, since tabled in the Maharashtra Assembly and already rejected by the Cabinet.


I guess someone needs to explain to Gadkari that it ain't defamation if it is true.

There were nice attempts to whitewash Gadkari but content doesn't really die on the internet.