The Enforcement Directorate (ED) conducting searches on Friday in connection with ₹12,000-crore fraud case allegedly involving Jaypee Infratech, Jaypee Associates Limited and others.
They are being probed under the Prevention of Money Laundering Act, 2002 (PMLA) over alleged fraud with homebuyers and investors and siphoning/diversion of funds.
The raids have been underway since early Friday at 15 locations across Delhi, the National Capital Region, and Mumbai as part of the money laundering investigation under the PMLA.
Accoridng to news agency ANI, the search was conducted at 15 premises located in Delhi-NCR and Mumbai which include Jaypee Associates and its associated entities, Gaursons, Gulshan, Mahagun and Suraksha Realty.
The targeted premises include offices and properties linked not only to Jaypee Associates and its associated entities but also to other major real estate players such as Gaursons, Gulshan, Mahagun, and Suraksha Realty.
According to officials, the fraudulent activities primarily involved “the siphoning and diversion of funds meant for homebuyers and investors.”
ED said its investigation points to large-scale financial mismanagement and misuse of public money, affecting thousands of unsuspecting individuals who had invested in properties with the hope of securing their dream homes.
As the investigation unfolds, authorities are expected to uncover further details surrounding the alleged money trail, which could have far-reaching implications for the companies involved and the real estate sector at large.
There was no immediate response from the companies concerned.
(With inputs from ANI)
Stay updated with the latest Trending, India , World and United States news. Get breaking news and key updates here on Mint!