The Chief Executive Officer, Rithik Sinha, and the director, Nishant Mukul, of realty group Amrapali was arrested and sent to jail by Gautam Buddha Nagar district administration on Monday.
It came to be known that the two officials were taken into custody as the realty group failed to pay labor cess for the last three years which currently amounts to Rs 4 crores.
Speaking to a reputed newspaper, Gautam Buddha Nagar’s Sub Divisional Magistrate said, “Action was taken under the provision of section 171 of the Land Revenue Act under”.
“The company had an outstanding of Rs 1.99 crore in 2014. However, when they failed to pay, a penal interest amounting to Rs 83 lakhs was imposed besides a penalty of Rs 1.72 crore,” he further added.
According to the newspaper, the officials of the realty group remained incommunicado.
Talking about the incident, Deputy Labour Commissioner B K Rai said, “We have issued recovery notices to another 7 builders in the district who owe the government nearly Rs 10 crore. We will take stringent action against those who are not paying the labor cess.”
