Few investors came forward to bid for Dawood’s properties due to security threat.
The auction of underworld don Dawood Ibrahim’s property was held at Hotel Diplomat in Colaba. Former city-based journalist S Balakrishnan purchased Dawood’s Delhi Zaika restaurant by quoting the highest bid amount of Rs 4.28 crores. President of Hindu Mahasabha Swami Chakrapani bought Dawood’s car for 3.2 lakh. He said, “I will set the vehicle on fire by burning the don’s effigies inside it.” The starting bid of the Hyundai Accent (MH-04-AX-3676) car was priced at Rs 15,700. The green sedan had been parked at a government society in Ghatkopar for the past four years and is in bad shape with burst tyres and shattered windshield.
Delhi-based lawyer Ajay Shrivastava has also shown interest in these assets. Security was beefed up at the site where the auction took place to avert any untoward incident.
The government agency had appointed a private firm to hold the auction under the Smugglers and Foreign Exchange Manipulators (Forfeiture of Properties) Act, 1976. Balakrishnan, who is the Chairman of Desh Seva Samiti, said, “My NGO wants this property (eatery on Pakmodia) to help underprivileged women and children of Bhendi Bazar to learn computers. This will help the people in society and give a strong message to gangsters like Dawood that Indians are not afraid of him and he can no longer unleash terror in the country.”
“We had made a bid of Rs 4.28 crores. Burhani had made a bid of Rs 4.27 crores and then I extended the bid by one lakh. We have already deposited Rs 30 lakhs and rest amount would be paid within one month” he added.
Earlier, Balakrishnan had filed a complaint with the police saying that Dawood’s right-hand man Chhota Shakeel had threatened him against bidding for the property.
The property was auctioned by the competent authority and administrator under the Smuggling and Foreign Exchange Manipulators Act of 1976 and the Narcotic Drugs and Psychotropic Substances (Prevention) Act.
The eatery, Delhi Zaika, earlier hotel Rounak Afroz, is priced at Rs 1.18 crore. This eatery, said police, is located at a stone’s throw distance from Dawood’s house in Dambarwala building where his younger brother Iqbal Kaskar resides.
The room, which belongs to the gangster, is situated in Mahavir Building in Matunga, said police. The base price for the 32.77 sq metre room has been fixed at Rs 50.44 lakh.
This is not the first time that a benami property of Dawood Ibrahim was auctioned. Income Tax authorities have earlier put 11 properties on auction four times since the 1993 bombings but with little success.
December 8 was the last date for sending application for the auction but a few people have come forward to show interest in the property.
Ibrahim, reported to be hiding in neighbouring Pakistan, runs D Company, a crime syndicate Indian authorities accuse of engaging in murder, extortion and weapon-smuggling. He is also accused of financing militant groups and of masterminding bomb and grenade attacks in Mumbai in March 1993 that killed 257 people and wounded more than 700.