The Metrozone housing project in Koyambedu has come under the scanner of the Central Bureau of Investigation (CBI) for suspected violations of subvention schemes and alleged cheating of homebuyers through a nexus between developers and financial institutions. The economic offences wing of the CBI, New Delhi, has registered a case against the developer of the Metrozone project, its promoters and directors, along with unknown officials of a bank and its housing finance arm. The case has been registered on charges of fraud and corruption, following directions issued by the Supreme Court. According to the First Information Report (FIR), the directors of the real estate company, which is currently undergoing the Corporate Insolvency Resolution Process (CIRP), allegedly entered into a criminal conspiracy with banks and financial institutions. Under this arrangement, the entire home loan amounts were allegedly disbursed in the names of prospective homebuyers in violation of regulations laid down by the Reserve Bank of India and the National Housing Bank. The FIR further states that the developer allegedly defaulted on paying pre-EMIs under the subvention scheme, despite tripartite agreements that clearly stipulated that the developer would service the EMIs until possession of the flats was handed over to the buyers. The alleged failure to honour this obligation resulted in severe financial distress for homebuyers, who were forced to bear the loan burden without receiving possession of their homes. The Metrozone project was launched in 2015 with assurances of world-class amenities, modern infrastructure, and time-bound completion. However, the project failed to meet these promises, prompting affected homebuyers to approach the courts for relief. The petition filed by the homebuyers was included in a larger batch of similar cases alleging collusion between banks and developers. These petitions were heard by the Supreme Court, which in March directed the CBI to register criminal cases in connection with 20 such petitions where preliminary inquiries had already been conducted. The court also instructed the agency to take up investigation into the remaining 25 cases without conducting any preliminary inquiry. The Supreme Court further ordered that the CBI may seek assistance from the respective state police authorities during the investigation, making it clear that state agencies are bound to comply with and support the probe. In addition to the project in Chennai, the investigating agency has also registered cases in connection with two other housing projects promoted by the same developer group in Bengaluru, indicating a wider pattern of alleged irregularities under similar subvention schemes.