Bhubaneswar, Feb. 16: The economic offences wing (EOW) of state crime branch today arrested a builder for alleged real estate fraud.

The investigating sleuths arrested Prakash Chandra Panda, managing director of Shiridi Sai Estates Private Ltd, for collecting money tune of Rs 10 crore from the investors promising them plots and flats in seven housing projects in Bhubaneswar, Puri and Cuttack.

The economic offences wing had registered a case against the accused in April last year following the direction of the high court. The duped investors had moved to the high court in 2012.

The economic offences wing officials said that Panda had been absconding and been living in a rented accommodation in Kapila Prasad area in the city.

“While the main door of the rented house used to be closed, he used to enter from backdoor,” said an economic offences wing official.

While the company had its head office in Bhubaneswar, a number of regional offices were in operation at several places across the state, including Soro, Bhadrak, Baripada and Chandanpur.

“Panda had collected the money promising plots and flats in easy instalments at seven projects at Basuaghai, Kalarahanga, Patia, Pahala and Tankapani Road in Bhubaneswar. The accused had made wide publication and issued brochures inviting the investors to purchase plots though the company did not have the required amount of land,” said Rajesh Kumar, deputy inspector general of the economic offences wing.

The economic offences wing has also seized two cars of the accused.

Police said the real estate company had collected the money through agents in instalments promising the depositors land on the outskirts of Bhubaneswar and doubling the money invested in the company. But later the company closed its office in Bhubaneswar, forcing the investors to move the high court.

Earlier in December last year, the EOW had arrested three persons for alleged fraudulent recording of 51.57 acres of government land in four revenue villages of the city. The market value of the land was estimated to be more than Rs 150 crore.