DS Kulkarni seeks bungalow on ₹2.5 lakh monthly rent from ED

The Bombay high court (HC) has directed jailed developer Deepak S Kulkarni and the Enforcement Directorate (ED) to reconsider the monthly rent for a bungalow owned by the former in Pune. The ED had taken possession of the 6,000 sq ft bungalow on September 30 as part of its investigation into the DS Kulkarni (DSK) Group scam.

Kulkarni had approached the HC seeking directions to the ED to allow his family to use the bungalow on rent as they were already residing in it.

Earlier, the ED appellate authority in Delhi had directed Kulkarni to deposit ₹11 lakh per month for use of the bungalow. However, he approached the HC, stating that he was able to pay only ₹2.5 lakh rent per month. The ED opposed the same, stating that the rent as per the prevailing market rate was ₹11 lakh.

The bench of justice SS Shinde, while hearing Kulkarni’s plea, was informed that after the ED decided to seize all personal properties, including the bungalow, the developer had approached the ED appellate authority pleading exemption of the bungalow from seizure. The appellate authority had refused to indulge the request but suggested that Kulkarni use the residential property by paying the ED a monthly rent of ₹11 lakh.

Kulkarni was directed to deposit the amount within 10 days, by September 25. However, after he failed to comply, the ED took possession of the bungalow on September 30.

On Monday, the bench directed Kulkarni and the ED to reconsider the final amount and respond by Friday.

Kulkarni and his wife Hemanti were arrested in Delhi by the Pune crime branch in Feb 2018, on charges of cheating over investors of a total of ₹1,250 crore.

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