CH NEWS
BENGALURU
The Karnataka High Court has refused to quash an ED case against Ozone Urbana Infra Developers over alleged cheating of homebuyers. Justice M. Nagaprasanna passed the order on a petition by company MD Vasudevan Sathyamurthy. The court, however, quashed proceedings against the company under the Karnataka Protection of Interest of Depositors in Financial Establishments Act, 2004. The court said homebuyers often invest their lifetime savings in properties and allegations of fund diversion could affect public trust. It rejected arguments citing RERA, IBC and other legal remedies. The ED has provisionally attached company properties worth Rs 423.38 crore. The court said allegations of cheating or criminal breach of trust warranted investigation and stopping it at this stage would be premature.
