The Enforcement Directorate (ED) has issued summons to the Chief General Manager (CGM) of the Punjab Small Industries and Export Corporation (PSIEC) in connection with its ongoing investigation into the allotment of land to a private firm allegedly linked to Punjab Industries Minister Sanjeev Arora.
According to sources familiar with the matter, the federal agency has directed the PSIEC official to appear before investigators along with records related to the allotment of land to Ritesh Properties Industries Limited. The ED has also sought documents concerning approvals and other procedural clearances associated with the allotment.
The development is linked to the agency’s scrutiny of a reported allotment of around 40 acres of land to the company. Investigators are examining the circumstances surrounding the transaction as part of a broader probe involving firms and entities allegedly connected to Arora.
The latest action comes weeks after the ED arrested Arora from his official residence in Chandigarh on May 9. Following extensive questioning, the minister was taken by the agency for further investigation. The case has since expanded to include examination of financial records, corporate transactions, and property-related documents.
Earlier, the ED conducted searches at multiple locations in Chandigarh, Delhi, and Gurugram associated with the minister and businesses under investigation. During the course of the probe, the agency alleged that firms linked to Arora had engaged in mobile phone trading transactions worth approximately Rs 157.12 crore, which were suspected to be non-genuine.
Investigators have further alleged that a network of shell entities was used to facilitate questionable export transactions. The agency is examining whether these transactions were used to move and route funds through overseas channels, including alleged financial dealings linked to Dubai.
According to the ED, the investigation is also focused on the alleged use of fabricated GST invoices generated through non-operational or fictitious firms. Authorities are probing whether such transactions were used to claim wrongful benefits in the form of input tax credit, GST refunds on exports, and duty drawback incentives, resulting in alleged losses to the public exchequer.
As part of the wider investigation, the ED has also carried out searches in Punjab at premises linked to individuals and entities under scrutiny. Earlier this month, officials conducted searches at locations associated with municipal contractor and chartered accountant Amit Bajaj in Jalandhar.
Sources said investigators are examining financial transactions involving Bajaj’s firms and entities linked to the minister during the period when Arora held responsibilities connected to local government affairs. Bajaj’s companies have been associated with infrastructure projects, including road construction and street-light contracts in Punjab, Gujarat, and other states.
The ED investigation remains underway, and officials have indicated that additional records and statements are being collected to establish the facts surrounding the financial and property-related transactions under scrutiny.