ED raids multiple locations linked to Punjab Minister Sanjeev Arora over alleged Rs 100 crore GST scam

The Enforcement Directorate on Saturday conducted raids at multiple locations linked to Punjab minister and MLA Sanjeev Arora as part of an alleged Rs 100 crore money laundering investigation tied to suspected fake GST transactions.

The searches were carried out under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, at five premises across Delhi, Gurugram and Chandigarh. Officials said four of the locations are allegedly connected to Arora and his business entities, while another premises belongs to Hampton Sky Realty Limited.

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According to ED officials, the probe centres on an alleged network of fraudulent GST transactions involving fake purchase bills for mobile phones worth more than Rs 100 crore. Investigators suspect that these bills were allegedly generated through non-existent firms operating from Delhi.

The agency alleges that the fake transactions were used to claim wrongful input tax credit (ITC), export refunds and duty drawbacks, leading to substantial losses to the government exchequer.

Officials further claimed that the proceeds were allegedly routed through export channels before being sent back to India from Dubai in an attempt to legitimise the funds through round-tripping operations.

Searches were underway at properties linked to Arora and his associates in Chandigarh and the Delhi-NCR region, including a ministerial residence allotted to him.

Reacting to the ED action, Punjab Chief Minister Bhagwant Mann accused the BJP-led Centre of misusing central agencies to target opposition leaders. He asserted that Punjab would not bow to political pressure or intimidation.

Mann also said Punjab, the land of the Gurus and freedom fighter Bhagat Singh, has always resisted injustice and would continue to stand firm against such actions.