Shah Housecon Private Limited (SHPL), promoted by Mansukh Shah, is identified as the developer of the project on Rani Sati Marg, spread across approximately 5,600 square metres. The complaint also names B Right Real Estate Limited, along with its promoters and directors, among the entities involved.

According to the complaint dated April 7, 2026, SHPL allegedly entered into multiple Memorandums of Understanding (MoUs) and development agreements with various parties over several years. These agreements were reportedly executed despite existing mortgages, encumbrances, prior contractual obligations, and ongoing disputes, raising concerns about overlapping rights and financial claims on the same project.

Public SRA records list Khot Dongri CHS Limited as the housing society under redevelopment, with SHPL as the developer and architect Vishwas Satodiya associated with the project. The scheme is registered under Regulation 33(10), which governs slum rehabilitation projects.

The complaint further alleges that SHPL raised around ₹104 crore from financial institutions, including Indiabulls and ARCIL, by mortgaging the project’s sale component. Despite this, the company is accused of continuing to mobilise funds from other investors and developers, creating multiple financial exposures linked to a single asset.

It is also alleged that between 2019 and 2024, B Right Group, through B Right Real Estate Limited, engaged in structured financial transactions with SHPL. Funds were reportedly infused under investment arrangements, with a portion allegedly routed back to group-linked entities such as Consultshah Financial Services Private Limited and Skyline Counseling Private Limited, pointing to possible round-tripping of funds.

The matter has also reached law enforcement agencies. In February 2026, Mansukh Shah and Akash Mansukh Shah were accused of defrauding a developer of ₹5.15 crore in connection with the same project. The case, initially registered at Kasturba Marg Police Station, was later transferred to the Economic Offences Wing (EOW).

The complaint claims that the progress of the project has not matched the scale of funds raised. It further alleges that eligible slum residents have not received rehabilitation housing for several years and that rent compensation dues remain unpaid.

The complainant has urged SEBI to conduct a forensic audit, trace fund flows, examine related-party transactions, and take steps to prevent further diversion of funds. The complaint notes that the issue impacts both private investors and lenders, as well as slum rehabilitation beneficiaries awaiting housing under a statutory scheme.

Additional allegations include lack of clear title, overlapping agreements with multiple parties, and illegal occupation of rehabilitation units by unauthorised individuals, along with claims of unlawful rent collection. The complainant has also alleged intimidation and coercion linked to further monetary demands.

Advocate Suvarna Vasta opposed the anticipatory bail plea of the accused, which was rejected by the Sessions Court in Dindoshi. The accused had earlier withdrawn a similar plea before the High Court. Sources claim that despite multiple complaints, no significant action has yet been taken against the entities involved, and similar allegations are said to exist in other projects as well.