The Enforcement Directorate (ED) on Wednesday, May 27, continued its search operations at multiple premises linked to Chandigarh Royale City Promoters Pvt Ltd (CRCPL) and the Royale Estate Group across Punjab and Chandigarh in connection with an alleged money laundering and real estate fraud case.
Officials said the raids have been underway since Tuesday morning at several locations in Chandigarh, Mohali, and Zirakpur. One of the key searches was conducted at the Sector-20 residence of real estate businessman Praveen Kansal alias Rocky, who is associated with the “Chandigarh Royal City” project in Zirakpur.
According to sources, ED teams reached the Sector-20 premises at around 7 am on Tuesday and continued examining financial documents, digital devices, and property-related records as part of the ongoing investigation.
The searches are being carried out by the Chandigarh Zonal Office of the ED under the provisions of the Prevention of Money Laundering Act (PMLA). Officials said the probe pertains to allegations of fraud, criminal conspiracy, diversion of funds, and financial irregularities linked to a residential colony project at Karala village in SAS Nagar district.
The ED action is based on an FIR registered by the Punjab Police in July 2025 against directors and associated persons linked to the project. Investigators are probing allegations related to dishonoured cheques worth nearly Rs 32.67 crore and alleged non-payment of statutory dues to the Greater Mohali Area Development Authority (GMADA).
Apart from the ED investigation, the Punjab Vigilance Bureau had also registered a case against Praveen Kansal last year under Sections 420 and 120-B of the IPC on a complaint filed by his business partner, Pyarelal Garg. Vigilance officials alleged that Kansal and some associates fraudulently transferred ownership rights of prime land in New Chandigarh and cheated his partner in the transaction.
Sources further claimed that Kansal is considered close to former Punjab minister Sikander Singh Maluka. Officials said the first complaint against him surfaced in 2023, but no major action was initiated at that time. The matter was reportedly reopened in 2025, following which a formal case was registered in June 2025.
Sources said the ED also searched premises linked to key promoters and associates of the group. The agency is believed to be tracing the money trail and examining suspected inter-company transactions, fund diversion and alleged layering of proceeds.
According to reports, ED officials are also verifying land acquisition records, project approvals, and financial transactions linked to the real estate venture as part of a wider scrutiny of suspected irregularities in Punjab’s property sector.
The ongoing raids are being viewed as part of a broader crackdown by central agencies on alleged corruption and financial misconduct in Punjab’s real estate industry.