The CEO of the Amrapali Group, Hrithik Sinha was released on Tuesday after depositing the complete labour cess amount, according to media reports. Sinha was arrested on Monday along with the Director of the company by Noida Police over alleged fraud and for evading the labour cess, as Financial Express reported.
The Noida office was sealed and two officers of the group, including CMD Anil Sharma’s son-in-law Hrithik Sinha and Nishant Mukul, have been arrested. Sinha is the company’s CEO. The labour cess worth Rs 4.29 crore was not paid, which was the reason behind the action.
The District Magistrate BN Singh said the company was asked to pay the cess but they did not comply.
Action against the company functionaries was taken under Section 171 of the UP Revenue Board Act, Singh said, adding that further legal action will be taken if company did not pay the due amount.
Attempts made to contact company officials were not successful. Several projects of the builder are stuck in Noida and Greater Noida leaving scores of home-buyers in lurch.
According to Section 171 (1) of the UP Revenue Code, any person committing default in payment of an arrear of land revenue may be arrested and detained in custody in the Tehsil lock-up and if there is no such lock-up, at such other place as may be prescribed, for a period not exceeding 15 days, unless the arrears are sooner paid.
The arrest comes a day after Uttar Pradesh Chief Minister Yogi Adityanath hinted at strong action against builders engaging in fraudulent practices.
He expressed disappointment over the irregularities in the real estate sector and said government action was needed to bridge the widening gap between flat buyers and builders.
(With inputs from PTI)
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