The Minister for Power, Industries, Investment Promotion, and Local Government in Punjab, Sanjeev Arora, has been detained by the Enforcement Directorate following a long search at his residence in Sector 2, Chandigarh.
This detention, according to ED officials, is in relation to the money laundering scam.
The agency claims that fake GST purchase transactions worth more than ₹100 crore were carried out through a company linked to Arora’s family.
The ED conducted searches at multiple locations in Chandigarh, Delhi and Gurugram, including the office premises of Hampton Sky Realty Limited and properties linked to the minister. Around 20 ED officials reportedly arrived at Arora’s residence early Saturday morning in several vehicles and continued the search operation for hours.
What ED claims
Officials allege that fake GST bills for mobile phone purchases were created using non-existent firms based in Delhi. These transactions were allegedly used to claim fake input tax credit (ITC), GST refunds on exports and duty drawback benefits, causing losses to the government exchequer.
The ED has also alleged that funds were routed from Dubai back to India through alleged round-tripping transactions.
Despite the action, senior leaders of the Aam Aadmi Party, including Arvind Kejriwal and Bhagwant Mann, have publicly stood by Sanjeev Arora.
Arora is considered one of the most influential ministers in the Punjab Cabinet and is known for his close connection with the state’s industrial and business community.
Although the official confirmation about the arrest from the ED is still awaited.
