The Directorate of Enforcement (ED) has launched search and survey operations at 26 locations across Delhi, Mohali, Chandigarh, Panchkula and Ludhiana in a separate money-laundering investigation concerning transactions linked to the Greater Mohali Area Development Authority (GMADA).
The searches are being conducted under the Prevention of Money Laundering Act (PMLA), 2002, and cover the premises of promoters, directors and associated persons of the entities under investigation.
Alongside the private premises, the ED is conducting surveys under Section 16 of the PMLA at the offices of GMADA and the Punjab Government’s Department of Housing and Urban Development.
According to the agency, the surveys are aimed at gathering documents and other evidence relating to transactions between the entities under investigation and GMADA.
The ED’s investigation has brought two prime auction sites in Mohali under scrutiny. The sites had been acquired from GMADA by entities under investigation.
According to the agency, substantial financial relief was subsequently obtained in relation to dues payable to GMADA. The ED is examining the circumstances surrounding the transactions and the process through which the relief was granted.
According to the ED, its investigation has indicated a suspected undue gain to the companies and corresponding loss to the exchequer of more than ₹100 crore.
The agency is examining official records, financial transactions and other documents to establish the circumstances surrounding the alleged irregularities.
The ED is also searching a consultancy firm that has undertaken various consultancy works for GMADA.
According to the agency, the firm is suspected of having acted as an intermediary in the transactions under investigation.
The current ED action should not be linked with the separate case in which former Punjab Chief Secretary Anurag Verma was summoned by the ED.
Verma’s ED proceedings relate to the agency’s money-laundering investigation into alleged irregularities involving Change of Land Use (CLU) permissions and layout modifications in the Suntec City/other Mohali real-estate projects. He appeared before the ED in Jalandhar on September 9 in that matter.
The 26-location searches reported today concern a different investigation and different transactions involving GMADA.
The present searches and surveys are ongoing. Further details are expected to emerge as the ED examines documents and evidence collected during the operation.
