ED's Major Raids Expose Massive Real Estate Fraud

In an unprecedented crackdown that could rock both the real estate and financial sectors, the Enforcement Directorate (ED) initiated sweeping searches on Friday in connection with an alleged Rs 12,000 crore fraud. This extensive probe involves major real estate firms, including Jaypee Infratech and Jaypee Associates Limited, among others, according to officials.

The raids, part of a money laundering inquiry under the Prevention of Money Laundering Act (PMLA), saw ED operatives searching 15 locations spread across Delhi, the National Capital Region, and Mumbai. The investigation focuses on uncovering the siphoning and diversion of funds meant for homebuyers and investors, implicating renowned real estate players like Gaursons, Gulshan, Mahagun, and Suraksha Realty.

According to ED officials, preliminary findings indicate massive financial mismanagement and public money misuse, potentially impacting thousands of hopeful homebuyers and investors. With the investigation ongoing, more details about the alleged money trail are anticipated, which could have lasting repercussions for the companies involved and the broader real estate market. (ANI)

(With inputs from agencies.)