New Delhi— India’s Enforcement Directorate (ED) has conducted search operations at multiple locations in Haryana in connection with an alleged real estate fraud involving Rs. 600 crore (approximately $72 million, seizing assets worth about $600,000, officials said Saturday.
The searches were carried out by the ED’s Gurugram Zonal Office under the Prevention of Money Laundering Act (PMLA), 2002, at premises in Faridabad, Palwal, and Bhiwadi, targeting the Piyush Group of Companies and its former promoters.
According to an official statement, the agency seized incriminating documents, books of accounts, and digital devices, along with cash, jewellery, and bank balances totaling more than $600,000.
The search operations also covered properties linked to erstwhile promoters, current resolution professionals, company directors, and Mahendra Pratap Singh, a former legislator who is a partner in a joint venture commercial project. The ED suspects the project was constructed using funds siphoned from homebuyers in other developments.
The investigation stems from multiple first information reports (FIRs) registered by agencies including the Economic Offences Wing (EOW) and the Central Bureau of Investigation (CBI). The cases allege cheating, criminal breach of trust, forgery, criminal conspiracy, and corruption.
Investigators allege that the promoters induced investors and homebuyers to put money into various projects by offering assured returns and timely possession. Despite collecting substantial booking amounts, many projects were left largely incomplete, possession was delayed for years, and refunds were not issued.
The FIRs further allege fabrication and forgery of documents, multiple allotments of the same housing units, and the fraudulent sale of mortgaged land without obtaining consent from lending banks.
Two key companies within the group are currently undergoing insolvency proceedings for incomplete projects in Palwal, Faridabad, Bhiwadi, Dharuhera, and other locations.
Preliminary findings suggest that the group collected more than $72 million from investors and homebuyers between 2010 and 2018. More than 2,000 homebuyers are believed to have been affected. Physical inspections of several sites revealed that construction had either stalled years ago or was less than 50% complete, the ED said.
The Piyush Group, promoted by late Anil Goyal and his sons late Puneet Goel and Amit Goel, was involved in residential and commercial real estate development across Haryana and Rajasthan. Major group companies, including Piyush Colonisers Limited and Piyush Shelters India Pvt. Ltd., were admitted into the Corporate Insolvency Resolution Process. Forensic audits conducted during insolvency proceedings indicated significant diversion of funds, according to the ED. (Source: IANS)
