After Sahara Group firms, another real estate company PACL seems to have violated SEBI regulations. It has found to be selling plots of land the way some companies sell cosmetics or food supplements? Will a realty-based multi-level marketing scheme work in a country faced with enormous shortage of homes?
The questions are looming large amid raised eyebrows as a Delhi-based company, PACL India Ltd has succeeded in luring hundreds of thousands of people into investing in its realty-based scheme.
Sources connected with the company’s vast network said its agents route investments from individuals, mostly from rural areas into the company’s several schemes that promise plots of land on offer across India.
PACL India Ltd, promises prospective customers high interest on the money they deposit through appreciation of land prices, or through direct allotment of land.
No customer has suffered so far but the Securities and Exchange Board of India (SEBI) is said to be challenging PACL as it deems its activities as a “collective investment scheme” that is not permitted under laws. The Supreme Court is understood to be examining the dispute that dates back years.
“The company has not defaulted on any payments due to its investors till date,” a PACL insider told Track2Realty on the condition of anonymity. PACL did not respond to calls by Track2Realty.
The company is said to dole out commissions of up to 40% to its agents, spread across several layers.
Realty industry sources said the company owns a land bank of around 180,000 acres estimated to be worth around R 70,000 crore and covers zones including small towns such as Visakhapatnam, Moradabad and Siwan and larger cities such as Mumbai and Delhi-NCR.
An analyst at a leading land consultancy firm said that land is a physical asset so there should always be clear holding of the land to prove ownership.
“A person can only own the land once physical possession of it is taken. A multi-level scheme simply does not have the wherewithal for such transactions,” said a real estate consultant who asked not be identified.
This leaves the basic question unanswered—does PACL hand over the title deeds to those individuals who heave paid for the entire cost of land purchased.
22 Comments
Item no.32 court no.1 section XV
s u p r e M e C o u r t o f I n D I a
record of proceedings
I.A. Nos.16-17 in CIVIL appeal nos.6753-6754 of 2004
securities & exchange board of india appellant (s)
versus
pacl india ltd. & Ors. Respondent(s)
(for directions, appln.(S) for permission to file additional
affidavit and office report)
date: 06/02/2012 these matters were called on for hearing today.
Coram :
hon’ble the chief justice
hon’ble mr. Justice a.K. Patnaik
hon’ble mr. Justice swatanter kumar
for appellant(s) mr. Gaurab banerji,asg.
Ms. Suruchii aggarwal,adv.
For respondent(s) mr. T.R. Andhyarujina,sr.Adv.
Mr. Shyam divan,sr.Adv.
Mr. Vinay bhasin,sr.Adv.
Mr. Rohit tandon,adv.
Mr. Vikram batra,adv.
Mr. Hari shankar k,adv.
Mr. Mohan jain,asg.
Mr. D.K. Thakur,adv.
Ms. Sheethal menon,adv.
Mr. B.K. Prasad,adv.
Mr. B.V. Balaram das,adv.
Mr. S. Balakrishnan,sr.Adv.
Mr. Pavan kumar,adv.
Upon hearing counsel the court made the following
o r D e r
place the CIVIL appeals for final hearing
as second item, I.E., After s.L.P. (C) nos.29282-
29284 of 2008.
T.I. Rajput , madhu saxena
a.R.-Cum-p.S. Assistant registrar
————————————————————————————————–
See friends,
There is no order for favor of the company from the apex court to continue their business till the final order. The company pacl india limited has been raided by the cbcid of kerala state and sealed all the offices of the company in the state.( See the reports dated 02/12/2012 and 03/12/2012 on tv and leading news papers of kerala state)
People can understand now what is the company situation.This news should come in all the states and has to circulate this latest information among the public.
Dear Firends,
No deafult case and intial value of land bank upto Rs. 70,ooo crores as mentioned in report automatilcally shows strength of the company. This clearly says that all the customers are safe. Copmpany also won the case from high court that the scehmes are not fallen under collective investment schemes as stated by sebi. So safety of customer and advisors are 100%.
Thanks
Satish Kumar….. I truly agree with u….PACL ltd is really trust worthy….and we are happy with the court decree
We are really satisfied with the PACL ltd,no default has done by the company until now…so customers you are safe…don’t worry…we are happy with the court decree.
We are really happy with PACL ltd which is really trust worthy…… and also glad with the court decree
Wow, marvelous weblog format! How long have you ever been blogging for? you made blogging look easy. The overall look of your web site is magnificent, let alone the content material!
really a trusted company and giving maturity to its investors from starting (but 4/5 months late) and giving commission to its field associates timely every month.
Pacl one of the most trusted company ,have great system ,perfect track ,working with pacl is safe and secure.
Its very true till today that we are getting our investment refund with good interest and well satisfied service.
In future it will better and far better.
Pacl ltd is warst compney bcs the system not trnsfrant mangment not teking any care of agents and custmars if custmers they want there investme by preematurity the compney diducting 20% in there amount and most of time compney rejecting request of custmers and verey harassment to the agent most negligeble compney totly manegment telling lie regarding maturity
PACL IS A FAKE & HOAX, RECENT INVESTIGATION BRING OUT THE FACT THAT COMPANY’S MOST OF LAND BANK IS WASTE LAND HAVING NO VALUE AT ALL, MOST OF LAND TAKEN BY COMPANY UN THE NAME OF ITS FIELD ASSOCIATES DUE TO RESTRICTIONS ON PURCHASING LAND IN NAME OD COMPANY AS PER VARIOUS STATE LAND LAWS & STATUES, WHICH WERE FRAUDULENTLY SOLD BY ITS FIELD ASSOCIATES & GOT ABSCONDED, REMAINING COMPANY,S LAND BANK SHOWN AS HIGHLY OVER VALUED, ALMOST ALL PROJECTS OF COMPANY BECOME WASTEFUL EXPENDITURE IN CONSTRUCTION AS PEOPLE INVOLVED MISAPPROPRIATED ALL MONEY & HAVE RESIGNED, ACTUALLY ABOUT 75% OF EXISTING INVESTORS HAVE ALREADY LOST THEIR INVESTMENTS (EVEN PRINCIPAL AMOUNT) WHICH THEY DONT KNOW BUT COMPANY & ITZ OFFICIALS WELL AWARE OF THIS FACT BECOUSE THEY RECENTLY COMES TO KNOW ABOUT THIS FACT, INVESTORS DONT KNOW BECOUSE NEITHER THEY HAVE KNOWNLEDGE NOR THEY WERE MADE AWARE ABOUT THIS RECENT FACT BY THE COMPANY. COMPANY & ITS FIELD ASSOCIATES STILL BEFOOLING CUSTOMERS.
Mr. HELPER
i think u didn’t have seen the company’s profile. Which u r saying about land I think haven’t seen land , go to Alidabad ,go to Gadhshankar than u will not say again these worlds. About PROJECTS ur wording shows that u didn’t think before u speak.There is not even a single problume in Pearls projects, All r aproved by the govt. Not only 1 or 2 there r 55 projects and 25 r running.
SO DEAR THINK BEFORE U SPEAK
Hello Mr Bedi,
Felling happy after reading your comment, but my policy was mature in Dec 2013 but still i have not received any confirmation or noney?? Now what will u say??
Thanks,
Navanath
+91 9011827572
I am agent of PACL LTD. Me and my agents invisted Rs 100000 in the company. Is the company’s economical condition good to continue my invistment further?
I am agent of pacl company .me investment Rs. 100000 lak and ahmednagar branch managar no presant to office no respos to my money please help me ????? me compleate to grahak shev cort aganst.
i invest mony on pacl.
invest is safe or not
Hello Mr Bedi,
Felling happy after reading your comment, but my policy was mature in April 2014 but still i have not received any confirmation or money?? Now what will u say??
nand kishore yadav
9970509427
I am an agent of this company and I invest Rs- 30 lakh, Berhampur branch murshidabad.now no response for return…plsss help me.
Dear Mr. Bedi.
I have my investment @ 100000/- in PACL, which is supposed to mature in March-2015. Presently I have pay my last installment, on Jan-2015. While enquiring I was informed that, I can’t either pay or withdraw my money as SEBI has launched case in High Court.
Upon receipt of decision from court, there is possibility of further news.
Can you guide me, in such cases, what shall investors like us proceed further.
Hello Mr Bedi,
Felling Very happy after reading your comment, but my policy was mature in Feb 2013 but still i have not received any confirmation or Money?? Now what will u say??
whenever i m calling my agent, he always reply me your cheque is Currier from delhi. You will get soon.
Thanks,
Raghavendra
+91 9860311600
I was agent of Pacl Ltd. Total investments by me & my team is more than 25lacs and Some policy has been matured, but still i am not getting any response by company or government.So please confirm that my customer & my team is secured.Kindly late me know about these.Kindly reply because i am very disturbed due to not getting any response by Sebi action on pacl Ltd. Just i am feeling that may be I can suside. Contact me you have any answer regarding this. Contact No -8051793011/7206937283
I every month deposits Rs.1500 ,my maturity completed 2013 – 2014 approximately .My all legal slip document deposits in PACL office at Kalyan by agent.But still I have not received any confirmation or money ,cheque .Now what will U say ?? Whenever Iam calling my agent he always replay me your cheque is courrier from Delhi,Mumbai ,you will get soon .Is it true ?? Contact me you have any answer regarding this. My contact number . 9657380798,7875874346 Thanks .Seating for an early replay . Thanks.