The seizure action by Enforcement Directorate against Ozone Urbana Infra Developers Pvt. Ltd. has brought the light back on the realty business in Bengaluru. The Enforcement Directorate (ED) froze immovable assets valued at ₹423.38 crore belonging to the company and its promoters on grounds of alleged fraud and diversion of funds received from homebuyers.
Ozone Urbana Infra Developers, which was formed in 2006, is one of the large realty firms that deals in township ventures in north Bengaluru, such as the Ozone Urbana integrated township comprising about 180 acres in the vicinity of the international airport. The promoter-led firm, which has thousands of customers on its rolls, offered promotions such as pre-construction EMI payment up to handover. Yet, several FIRs and a CBI case launched on directions from the Supreme Court uncovered systemic failures in the delivery of project units, delayed construction timelines, and broken assurances to refund advances upon incomplete projects.
The ED, having raided 10 of the company's related premises, discovered that money amounting to more than ₹927 crore, was channeled through a network of group companies and family accounts, instead of being deployed for project development as planned. The attached assets include 92 unsold flats in the Avenue project, 13 units in Aqua 2, 4.5 acres of commercial land, and 179 acres in Kannehalli, Mudigere village, showing the extent of the suspected fraud.
Ozone Urbana Infra Developers has released a short statement regarding the ED action, expressing its willingness to cooperate with investigations. The firm argues that operational challenges, realty slumps, and policy changes hampered its capacity to provide houses. It asserts steps are being taken towards addressing customer complaints and arriving at solutions through court-monitored negotiations, and has denied any deliberate wrongdoing or personal benefits from misused funds. But as of now, no elaborate public apology or compensation scheme has been made for the impacted homebuyers.
Legal professionals say additional court hearings, forensic audits, and criminal prosecution may ensue as the ED examines use of funds. The impacted buyers could pursue compensation or relief through consumer courts or insolvency proceedings, while promoters of the company risk possible bans to operate in the industry if convicted. The massive unsold inventory may ultimately be sold off under judicial supervision in order to recover losses.
In the future, industry experts point out that the best option for Ozone Urbana would be honest interaction with homebuyers and open negotiations with officials, potentially negotiating in phased completion under third-party supervision or restructuring through the National Company Law Tribunal (NCLT).
