ED Raid: ED raid against real estate company, 6 crore cash and jewelery worth 7.5 crore seized

New Delhi. The Enforcement Directorate (ED) has seized Rs 6.3 crore in cash and jewelery worth Rs 7.5 crore during a raid against a Delhi-based real estate company. Officials gave this information on Saturday. The company is facing allegations of defrauding home buyers and is currently going through the bankruptcy process.

This action was taken on Friday under the Prevention of Money Laundering Act (PMLA), in which raids were conducted on 10 premises of former directors, promoters and institutions associated with the company ‘Earth Infrastructures Limited’ (EIL) in Delhi and Gurugram. As per official records, the company has been going through the corporate insolvency resolution process since June 2018.

According to ED officials, the money laundering case against the former directors and promoters of the company was registered on the basis of five FIRs lodged by the Economic Offenses Wing of Delhi Police and a complaint by the Serious Fraud Investigation Office (SFIO). Officials said that during the raid, ED seized Rs 6.3 crore in cash, jewelery and luxury watches worth Rs 7.5 crore.

The group and its associated companies had launched several real estate projects in Delhi-NCR and Lucknow under the ‘Earth’ brand, including Earth Town, Earth Sapphire Court, Earth Copia, Earth TechOne, Earth Iconic, Earth Titanium, Earth Alekasa, Earth Gracia and Earth Skygate.

According to the ED, the accused companies had raised Rs 2,024.45 crore from over 19,425 home buyers and investors by promising them timely delivery of residential and commercial units and assured returns. However, despite huge advances being taken, the projects were not completed or possession was not given to the buyers. The agency claims that the money was diverted to buy land in Gurugram, Delhi and Rajasthan or through shell companies.