New Delhi: The ED searched multiple premises in Haryana, including those belonging to former MLA Mahendra Pratap Singh, in connection with a realtor’s Rs 600 crore fraud with home buyers and seized jewellery and bank balances amounting to more than Rs 5 crore, said an official on Saturday.
Enforcement Directorate (ED), Gurugram Zonal Office, conducted search operations at Faridabad, Palwal and Bhiwadi under the PMLA, 2002, against the Piyush Group of Companies and its erstwhile Promoters.
The ED seized incriminating material in the form of deeds, books of accounts and digital devices along with cash, jewellery and bank balances amounting to more than Rs 5 crore, the official said in a statement.
The searches included the premises of erstwhile promoters, the present resolution professionals, Directors and Mahendra Pratap Singh, a partner in a commercial project through JV, which has been suspected to be constructed from homebuyers’ funds siphoned from other projects, the ED said.
The action is based on multiple FIRs registered by various investigating agencies, including the Economic Offences Wing (EOW) and the Central Bureau of Investigation (CBI), alleging cheating, criminal breach of trust, forgery, criminal conspiracy, and corruption.
The FIRs allege that the promoters induced investors and homebuyers to invest in various projects by offering assured returns and timely possession.
However, despite collecting substantial booking amounts, the projects remained largely incomplete, possession was not delivered even after prolonged delays, and refunds were not made, the ED said.
The FIRs also allege fabrication and forging of documents, allotment of the same unit to multiple buyers, and fraudulent sale of mortgaged land without obtaining bank consent.
The two companies are currently undergoing insolvency proceedings on the incomplete projects in Palwal, Faridabad, Bhiwadi, Dharuhera, and other locations, it said.
Preliminary material collected during searches indicated that the group collected more than Rs 600 crore over a period between 2010 and 2018.
More than 2,000 homebuyers/victims are stated to have been affected. Physical inspections of several projects revealed that construction had either stalled long ago or was less than 50 per cent complete, the ED said.
The Piyush Group, promoted by Late Anil Goyal and his sons late Puneet Goel and Amit Goel, was engaged in residential and commercial real estate development across Haryana and Rajasthan, the statement said.
The group launched multiple projects in Palwal, Faridabad, Bhiwadi, Dharuhera, and other locations. Key group companies, including Piyush Colonisers Limited and Piyush Shelters India Pvt Ltd, were admitted into the Corporate Insolvency Resolution Process (CIRP). During CIRP, forensic audits indicated significant diversion of funds, the ED said.
(IANS)
