Mumbai: The city crime branch has submitted a closure report in a case involving an alleged Rs 1,000-crore financial fraud linked to the redevelopment of a Slum Rehabilitation Authority (SRA) project at Shankarwadi in Jogeshwari East.Police said the complaint filed by Rajat Jhunjhunwala was prima facie false, claiming that the alleged share transfer central to the dispute was never legally completed. The case concerns a dispute over ownership and control of JLS Realty Pvt Ltd, which was involved in the Shankarwadi redevelopment project, and its parent company, Shajas Developers Pvt Ltd. Jhunjhunwala had claimed that his company, Gauri Rajeshwari Consultancy Pvt Ltd, acquired complete ownership of Shajas under a share purchase agreement (SPA) dated May 6, 2016, thereby gaining control of JLS. Jhunjhunwala has alleged a fraudulent transfer of ownership in Shajas Developers Pvt Ltd and its subsidiary JSL Realty through forged documents and fake shareholding certificates, effectively removing his stake in the companies.However, the investigation done by the property cell of the crime branch found that although the SPA and a side letter were signed, the parties did not fulfil the stipulated conditions for completing the transaction. According to the closure report, there was no documentary evidence that the agreed consideration was deposited in an escrow account or that the statutory procedures for transferring the shares were completed. The police concluded that the evidence did not substantiate the allegations of cheating, criminal breach of trust, forgery and conspiracy under the IPC sections invoked in the case. They alleged that material information about the SPA and share certificates had not been disclosed while seeking court directions to register the complaint.
