The Hindu : New Delhi News : `Whistle-blower' in CGHS scam arrested

Online edition of India's National Newspaper
Friday, Aug 04, 2006

New Delhi

New Delhi

`Whistle-blower' in CGHS scam arrested

Staff Reporter

Was found to be involved in the `plot' in which he named 5 others

NEW DELHI: Two persons have been arrested by the Economic Offences Wing (EOW) of the Crime Branch on charges of their involvement in the Kunj Vihar Co-operative Group Housing Society (CGHS) scam at Dwarka in South-West Delhi.

According to Deputy Commissioner of Police (EOW) Prabhakar, one of the accused, Vivek Pathak, had earlier told the police that he was a member and former treasurer of Kunj Vihar CGHS and had alleged that Pradeep Mehta, Anuj Gupta, Rakesh Gupta, Atul Bansal and Naresh Rana had forged his signatures on proceeding registers of the General Body Meeting, Managing Committee Meeting, Audited Balance Sheet and other related documents to make money through fraudulent means.

He also alleged that the five other accused had sold more than 100 memberships of the Society by forging signatures of the dummy members and also had tampered with the record of the Society to make money. Subsequently, a case was registered against the five accused at Dwarka police station.

Investigations revealed that Kunj Vihar CGHS was set up in 1995-96, subject to the payment of 35 per cent of the land cost, but the Society failed to deposit the requisite amount and the allotment of land was cancelled in June 1996. At that time, Pradeep Mehta managed to deposit the amount and got the land allotted. Similarly, he got plots allotted for some other societies.

Forensic examination of the audit report of the Society, which was obtained from the office of Registrar of Co-operative Societies, revealed that signatures of Vivek Pathak was forged, but his signatures on cheques issued in favour of the auditor were genuine. It also came to light that Mr. Pathak was hand in gloves with Mr. Mehta in reviving defunct Societies through fraudulent means. However, the two fell out due to a dispute over sharing of the money earned by selling the flats to new members.

Subsequently, Mr. Pathak and his accomplice, Arun Sharma, were arrested. During interrogation, they allegedly confessed that the signatures on the refund cheques issued in the name of bogus members of the Society, through which a huge amount had been withdrawn, was theirs. They claimed that they did so at the instance of Pradeep Mehta.

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