The Enforcement Directorate (ED) has alleged that it has unearthed a ₹90.5 crore money laundering and financial fraud linked to a cooperative group housing society in Gurugram after conducting coordinated searches across Delhi, Gurugram and Faridabad under the Prevention of Money Laundering Act (PMLA), 2002.
The agency said the searches were carried out on July 9 at eight residential and commercial premises following an FIR registered by Sushant Lok Police Station, Gurugram. The case names former Shanti Niketan Co-operative Group Housing Society president Mangal Sen Mittal, along with Anil Sharma, Arun Sharma and others, over allegations of cheating members of the society and financial irregularities.
According to the ED, the investigation so far suggests that the housing society, which was authorised to have 98 members, allegedly admitted 34 additional members beyond the approved limit. The agency claimed these extra memberships were used to facilitate the sale of flats in violation of the society’s sanctioned structure, resulting in substantial unlawful financial gains.
The ED alleged that prospective buyers were instructed to split payments into two components. While a portion of the consideration estimated at around ₹3,500 to ₹4,000 per square foot was routed through banking channels, the remaining amount was allegedly collected in cash. ”The investigation has revealed that proceeds of crime generated through this modus operandi are estimated at approximately ₹90.50 crore,” the agency said in a statement.
The probe has further indicated that the funds collected from members were allegedly diverted instead of being utilised for the housing project. Investigators suspect the money was routed through a network of companies and multiple bank accounts to disguise its origin. The ED said it had also identified cash deposits of nearly ₹12 crore in accounts linked to Connoisseur Infrabuild Private Limited and entities allegedly connected to one of the accused.
During the search operation, officials seized digital devices, financial records, property-related documents and other material that the agency believes could be relevant to the investigation. The ED also recovered and seized assets collectively valued at about ₹6.63 crore, including ₹55 lakh in cash, gold bullion worth ₹1.85 crore, gold jewellery valued at ₹1.95 crore and around 100 kilograms of silver estimated at ₹2.28 crore. Several bank accounts associated with the accused have also been frozen as part of the investigation.
“Searches have resulted in the recovery of incriminating documents, digital evidence and valuables, while further investigation is focused on tracing the complete money trail and identifying all beneficiaries of the alleged proceeds of crime,” the ED said.
The agency added that investigators are examining whether the allegedly diverted funds were invested in other companies or immovable assets. The investigation under the provisions of the PMLA is continuing, and no conclusions have yet been reached regarding the criminal liability of the accused, which will be determined in accordance with law.