Rajeev Sharma :- Enforcement Directorate (ED) has arrested Ajay Sehgal, secretary of the Indian Cooperative House Building Society, in connection with a major money laundering case linked to alleged fraud in obtaining Change of Land Use (CLU) approvals for the Suntec City project in Punjab.
The arrest was made by the ED’s Jalandhar unit on Friday evening following an ongoing investigation into alleged forged farmer consent documents used for securing permissions for real estate development.
Complaint by farmers triggered investigation
The case began after several farmers approached the Punjab Police claiming that their signatures and consent had been forged to obtain CLU approvals for land linked to the Suntec City township project.
Based on these complaints, an FIR was registered, after which the ED launched a parallel money laundering investigation. According to the agency, its probe found that fake consent letters were allegedly prepared for nearly 30.5 acres of land belonging to 15 different landowners.
Officials claim these documents contained forged signatures and thumb impressions that were later used to secure government approvals for the mega housing project.
CLU used for multiple projects
Investigators say the allegedly fraudulent CLU approvals were not only used for the Suntec City township but also helped in developing other projects, including the La Canela residential complex and the District 7 commercial project.
The ED has also alleged that flats and commercial units in these projects were sold before receiving proper registration and approvals from the Real Estate Regulatory Authority (RERA).
ED raids and recovery of cash
Earlier this month, the ED conducted raids at eight locations connected to the Indian Cooperative House Building Society and ABS Township Private Limited.
During the searches, officials claimed that cash worth Rs 21 lakh was allegedly thrown from a balcony in an attempt to hide it from investigators. The money reportedly scattered onto the road below before being recovered by ED officials.
Questions raised over EWS plots and govt action
The investigation has further revealed that plots reserved for Economically Weaker Sections (EWS) were allegedly not transferred to the GMADA Estate Officer as required under regulations.
The ED has also questioned the limited action taken against the project despite discussions in the Punjab and Haryana High Court. According to officials, only partial CLU cancellation was carried out for a section of the land instead of stricter legal action under relevant provisions of the Punjab Regional and Town Planning and Development Act.
More arrests likely
The ED believes the case could expose a larger network involving officials from GMADA and the Department of Town and Country Planning.
Sources in the agency said investigators are examining whether certain public officials received illegal benefits in exchange for clearing approvals for developers.
