ED Names Former Haryana Minister in Piyush Group Money Laundering Probe
The Enforcement Directorate has taken significant action in a high-profile real estate fraud case. Officials from the Gurugram zonal office have named Mahinder Partap Singh, a former minister from Haryana, as one of the accused. This development comes as part of a money laundering investigation targeting the Piyush Group of Companies.
Widespread Searches Uncover Evidence
ED officials conducted search and seizure operations at more than twelve locations. These raids targeted the premises of former promoters, current resolution professionals, directors, and Mahinder Partap Singh himself. Singh was involved as a partner in a commercial project through a joint venture arrangement.
Investigators suspect this project was constructed using funds diverted from homebuyers' investments in other developments. The searches covered properties in Faridabad, Palwal, Bhiwadi, and several other locations across the region.
Multiple Agencies Involved in Investigation
This enforcement action follows multiple First Information Reports filed by various investigating agencies. The Economic Offences Wing and the Central Bureau of Investigation have both registered cases against the group. These FIRs allege serious offenses including cheating, criminal breach of trust, forgery, criminal conspiracy, and corruption.
Preliminary evidence collected during the searches reveals alarming details. The Piyush Group reportedly collected more than six hundred crore rupees between 2010 and 2018. Over two thousand homebuyers and investors have been affected by the alleged fraud.
Stalled Projects and Financial Diversion
Physical inspections of several projects tell a troubling story. Construction either stalled completely years ago or remains less than fifty percent complete. Many homebuyers invested their savings with promises of timely possession that never materialized.
The Piyush Group was originally promoted by the late Anil Goyal and his sons, the late Puneet Goel and Amit Goel. The company engaged in residential and commercial real estate development across Haryana and Rajasthan. Their projects spanned locations including Palwal, Faridabad, Bhiwadi, and Dharuhera.
Insolvency Proceedings Reveal Financial Irregularities
Key companies within the group, including Piyush Colonisers Limited and Piyush Shelters India Private Limited, entered the Corporate Insolvency Resolution Process. Forensic audits conducted during these proceedings indicated significant diversion of funds from project accounts.
The recent search operations yielded substantial evidence. Officials seized incriminating material including property deeds, accounting books, and digital devices. They also recovered cash, jewelry, and bank balances totaling more than five crore rupees.
Pattern of Alleged Fraud Emerges
Investigators outline a consistent pattern of alleged misconduct. Promoters reportedly induced investors and homebuyers to invest in various projects. They offered assured returns and promised timely possession of properties.
Despite collecting substantial booking amounts from thousands of buyers, most projects remained largely incomplete. Possession was not delivered even after prolonged delays, and refunds were not provided to aggrieved investors.
The FIRs detail additional allegations of document fabrication and forgery. Some units were allegedly allotted to multiple buyers simultaneously. There are also claims of fraudulent sale of mortgaged land without obtaining necessary consent from banks.
Two group companies continue to undergo insolvency proceedings related to incomplete projects in Palwal, Faridabad, Bhiwadi, Dharuhera, and other locations. The investigation remains active as authorities pursue all leads in this complex financial fraud case.
