CBI cracks down on NCR builders for defrauding homebuyers

The Central Bureau of Investigation (CBI) has registered 22 cases against various builders in the National Capital Region (NCR) for allegedly cheating thousands of homebuyers through a fraudulent housing loan scheme.

The agency also raided 47 premises across Delhi, Gurugram, Noida, Greater Noida and Ghaziabad as part of its probe into an alleged nexus between developers and officials of financial institutions.

Among the companies who were named in separate FIRs were — Supertech Limited, AVJ Developers (India) Pvt Ltd, Jaypee Infratech Ltd, Jaypee Sports International Limited/ Jaiprakash Associates Limited, Logix City Developers, Geotech Promoters and several more.

The action follows directions from the Supreme Court, which had taken serious note of complaints from aggrieved homebuyers who approached it through Special Leave Petitions (SLPs).

The petitioners alleged they were duped by builders using the controversial ‘subvention scheme’ — a now-scrapped housing loan model that allowed buyers to take loans while the builder paid EMIs until possession, a system that reportedly collapsed, leaving buyers in debt and without homes.

The apex court, observing a “nexus” between builders and financiers, had in April 2025 asked the CBI to conduct a thorough preliminary inquiry into the matter. The CBI completed six of the seven inquiries within three months and submitted its status report to the court.

After reviewing the CBI’s findings, the Supreme Court directed the agency to register regular cases, naming different builders and unidentified officials of various financial institutions.

A senior official said during recent raids, the CBI recovered a cache of incriminating documents and digital evidence.

Thousands of middle-class families, who invested in NCR real estate, have long accused developers of project delays, misappropriation of funds and mortgage-related fraud. The current CBI action is seen as one of the largest probes into real estate scams in the country in recent years.