Khamdamov was detained under Article 227 of Uzbekistan’s Criminal Procedure Code, according to a Kun.uz source.
Problems surrounding the company emerged after apartments in several of its projects were not handed over to buyers within the deadlines stipulated in their contracts.
The Tashkent City Police Department’s Investigation Directorate had earlier opened a criminal case against the management of Imarat Development LLC, whose office is located on Buyuk Avlod Street in the Sergeli district. The case involves suspected offences under Article 168 (fraud) and Article 192¹¹ (abuse of authority by officials of a non-governmental commercial or other non-governmental organization) of the Criminal Code.
The police department told Kun.uz that two individuals, identified by their initials as M.Kh. and J.A., had been detained under Article 227 of the Criminal Procedure Code, which regulates detention by an inquiry officer, investigator or prosecutor.
Under this provision, an employee of an internal affairs body or another law enforcement agency must immediately take a detained person to the nearest police station or other law enforcement office based on a decision by an inquiry officer, investigator or prosecutor ordering the detention or the person's involvement in the case as a suspect.
Background to the dispute
The controversy surrounding the construction company had attracted public attention well before law enforcement authorities issued their first official statement.
In video reports published by Kun.uz, affected buyers said they had been trying unsuccessfully for months to recover their money.
Customers also raised concerns about the company's extensive advertising campaigns on social media, which featured popular bloggers to attract buyers. Promotional videos promised affordable apartments with convenient installment plans, requiring either no down payment or only a small initial payment.
One of the main complaints concerned the actual locations of the projects. Sales representatives had reportedly presented residential complexes being built in Quyi chirchiq district of Tashkent region as projects located in Tashkent's Sergeli and Yangihayot districts. Another apartment complex under construction in Parkent district was advertised as being part of New Tashkent.
Meanwhile, construction at some of the sites where the advertised residential complexes were supposed to be built had progressed very slowly or remained at the excavation stage.
