Mumbai: The Sessions Court, Dindoshi, has refused to grant anticipatory bail to the office bearers of the Rishikesh Park Cooperative Housing Society Federation Ltd in Borivali (West) for allegedly collecting Rs 14 lakhs from various builders in the name of redevelopment without authority.
Court’s Rejection on April 20
The complainant Gita Sadhnani said she has valid rights with respect to the property in Borivli in Town Planning Scheme on Shimpoli Road. On March 16, 2026 she filed an FIR in Borivli police station against Ketan Shah, secretary of Rishikesh Park CHS Federation and others for allegedly issuing an unlawful expression of interest in respect to her property ``thereby inviting developers and third parties to participate in redevelopment activities over which they have absolutely no authority."
Last week on April 20, the sessions court rejected the plea filed by Shah and 12 members of the federation, including its chairman, Mahendrakumar Shah, observing that the offence is related to economic fraud and is serious in nature.
Federation’s Alleged Actions
These members have been booked by the Borivali Police Station on the complaint of Sadhnani whose company R.K. Builders has developed six out of seven total buildings located on Shimpoli Road after taking due permission from the Charity Commissioner, as the original property was owned by a trust. It was claimed that one of the buildings is still pending due to several litigations.
In the meanwhile, the complainant claimed that the four societies formed a federation and sought conveyance to opt for redevelopment. While the issue was pending, it is alleged that the federation published an advertisement for the redevelopment of the plot and called for tenders. Additionally, it is alleged that the federation collected around Rs 12 to 14 lakhs from builders; thereby, the complainant claimed they have cheated the owners, RK Builders.
Defense Contention
Pending the probe, the police issued notices to all members of the federation. Fearing arrest, they approached the sessions court for anticipatory bail through their lawyer, Aakash Giri.
It was contended that the dispute is civil in nature and that no ingredients of cheating apply to the applicants. Furthermore, it was contended that they were falsely implicated because they are witnesses against the complainant's brother in a criminal case.
The plea was opposed by the prosecution, claiming that the applicants have no right to collect money from builders or to execute conveyance deeds for any persons. The prosecution further submitted that the applicants misrepresented themselves to 14 developers and collected an amount of Rs 14 lakhs from them. Without an order or permission from the Charity Commissioner, a conveyance deed cannot be executed. They also allegedly used architects' fake stamps on the paperwork; therefore, the prosecution contended that custodial interrogation is necessary.
Builder’s Objection
The plea was also objected to by advocate Saurabh Patil, who represented the builder, contending that the office bearers published fake advertisements in the newspaper and committed serious economic fraud.
Hearing this, the court observed: "Prima facie, it appears that without permission of the Charity Commissioner or any competent court, the applicants published advertisements in the newspaper and collected an amount of Rs 14 lakhs from 14 developers."
"The applicants have not filed any documents on record to show that they have the right to collect amounts from the builders in respect of the disputed property," the court stated while refusing to grant them protection from arrest.
Post-Bail Rejection Inaction
The complainant claimed that even after the rejection of the anticipatory bail plea, the police failed to act against the office bearers. The complainant wrote a letter on April 21, through her lawyer, Sanya Rawlani, to Mumbai Police Commissioner Deven Bharti, stating that "despite the rejection of anticipatory bail and the gravity of the offences involved, no effective or meaningful action has been taken by the Borivali Police Station to date."
In her letter, the complainant expressed apprehension, stating that "if immediate action is not taken, the accused will continue to induce and deceive more developers and investors, create further third-party rights, and dispose of or siphon off the illegal funds."
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