pune

Updated: Aug 18, 2017 13:53 IST

After having failed to recover their investments from DS Kulkarni Depositors Ltd (DSKDL), depositors have sought action against city based real estate developer DS Kulkarni. While the police have accepted their complaint, no FIR has been filed against the developer. Police officials summoned DSK executives and asked both parties to explore an amicable solution.

On Wednesday, around 160 depositors approached the Shivajinagar police station and demanded seizure of Kulkarni’s passport and travel documents to pre-empt the possibility of him flying abroad while seeking FIR against the developer for the alleged “mass cheating”.

Over the past few weeks, depositors, mostly senior citizens, have been raising a hue and cry against the listed company for defaulting on the interest payment of FD scheme that the group has been running for the past 35 years. The company claimed that it raised Rs 485 crore through FDs from the middle class.

The listed company has been in the midst of a crisis following slowdown in the real estate market and its adverse impact on the group, which has repeatedly defaulted on payments due to small investors and FD holders.

“We asked DSK staff and the depositors to discuss the issue and try to sort it out mutually. If the solution is not found, we may take necessary action,” said senior police inspector Prabhakar Shinde.

In their complaint a copy of which is with Hindustan Times, the depositors have alleged serious financial irregularities committed by DSK group companies.

“We have seen examples in the past about corporate FDs not being paid back to investors and the company CEOs disappearing from India to escape the Indian legal system. We do not want a repeat of that situation in the case of Mr and Mrs Kulkarni,” the complaint said.

Alleging that most of their money was invested by the developer in the “Dream City” project at Loni Kalbhor, the depositors demanded that the project be liquidated by the court appointed liquidator to refund the money.

The 300-acre ‘Dream City’ township project of 12,000 ultra-luxurious apartments near Loni Kalbour on the outskirts of Pune city failed to take off as per the expectations of the developer after it was launched in 2014.

The depositors said, if their money is not returned immediately by the developer, it may lead to mass suicide.

“Many DSK investors were in need of their hard earned money for wedding of their daughters, education and children, medical expenses, home buying but none of them got even the principal amount back as promised on the revenue stamp by DSK who provided post-dated cheques as guarantee to investors.”

Kulkarni, in his interview to HT earlier this month, said the recession coupled with the accident he met last year negatively impacted his business.