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Mumbai: Retired Mantralaya official dupes 28 state employees of Rs 2.6 crore in Powai housing scam

Updated on: 21 July,2025 07:56 AM IST  |  Mumbai
Sanjeev Shivadekar | sanjeev.shivadekar@mid-day.com

The accused, Rajesh Govil, who served as under secretary with the Home Department and retired as deputy secretary from the Planning Department in May 2025, allegedly convinced the employees, residents of the Blue Bell staff quarters in Powai that he could get the flats transferred into their names

Mumbai: Retired Mantralaya official dupes 28 state employees of Rs 2.6 crore in Powai housing scam

Blue Bell staff quarters in Hiranandani Gardens, Powai, where several state government employees were allegedly duped of crores. Pic/Satej Shinde

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Mumbai: Retired Mantralaya official dupes 28 state employees of Rs 2.6 crore in Powai housing scam
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At least 28 Maharashtra government employees from departments including the Home Department in Mantralaya, the DGP’s office, the Rationing Department, and other allied services, were allegedly duped of over Rs 2.61 crore by a retired bureaucrat who promised them ownership of government flats in Powai’s Hiranandani Gardens.

The accused, Rajesh Govil, who served as under secretary with the Home Department and retired as deputy secretary from the Planning Department in May 2025, allegedly convinced the employees, residents of the Blue Bell staff quarters in Powai that he could get the flats transferred into their names.


A senior Mantralaya official told mid-day, “When we realised we were being cheated, 19 out of the 28 officers came forward to file a police case.” An FIR was registered on July 19 at the Powai police station by Umesh Chandiwade, under secretary in the Home Department and resident of Blue Bell.



Govil has been booked under Sections 420 (cheating) and 406 (criminal breach of trust) of the Bharatiya Nyay Sanhita (BNS). According to the FIR, the alleged fraud occurred between May 9, 2019, and December 24, 2021. The Blue Bell building is part of a 1986 tripartite agreement between Hiranandani Developers, the Maharashtra Government, and MMRDA. Under this deal, the developer was granted land in exchange for handing over 1296 flats for government housing.

In 2008, activists Medha Patkar, Kamlakar Satve, and Rajendra Thakur challenged the deal in court. In 2012, the Bombay High Court ruled that the flats should be allotted to state government employees at a concessional rate of Rs 135 per sq ft.

Using this ruling, Govil allegedly convinced the 28 officers that he could facilitate ownership transfers. In 2018, he collected an initial Rs 1 lakh from each member, claiming it would fund legal proceedings. Meetings reportedly took place at his residence in the same housing complex.

By 2019, Govil changed his approach, saying the legal process would take five to six years, and instead proposed using his “high-level contacts” to expedite ownership within 5–7 months for an additional Rs 10–15 lakh per person.

Chandiwade’s police statement mentions that between May and July 2021, Rs 1.5 crore was collected from residents of Wing B by him and Rs 1.11 crore from Wing A directly by Govil. Bank records show Chandiwade even took a Rs 10 lakh loan from the Maharashtra Mantralaya and Allied Offices Co-Operative Bank to pay his share.

Blue Bell Society, Powai, linked to R2.6cr fraud involving ex-bureaucrat, 28 Mantralaya staff. Pic/Satej Shinde
Blue Bell Society, Powai, linked to Rs 2.6cr fraud involving ex-bureaucrat, 28 Mantralaya staff. Pic/Satej Shinde

Despite repeated follow-ups, no transfers happened. Chandiwade told police he has audio and video recordings from 2019 to 2024 of Govil assuring members the process was ongoing and the funds were safe.

On March 13, 2024, Govil again sought more time, after which members realised they had been defrauded and approached police. Senior Police Inspector Jitendra Sonawane of Powai confirmed that no arrests have been made yet. “The case is under investigation,” he said. Despite multiple attempts, both Chandiwade and Govil did not respond to mid-day’s calls or messages.

Victims seek to freeze retirement benefits of Govil

According to a senior Mantralaya official, the victims had urged the Planning Department to withhold Govil’s retirement perks. “We had informed the authorities that we intended to file a police complaint and requested that his benefits be put on hold until the matter was resolved,” the official said on condition of anonymity.

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