ED Raids Jaypee, Gaursons, Others In Massive Rs 12,000-Cr Money Laundering Probe: Report

The ED suspects that funds collected from thousands of homebuyers and investors were misused or siphoned off, leaving many projects stalled and customers in limbo.

The sweeping raids covered 15 locations spread across the Delhi-NCR region and Mumbai. A

Source : Freepik

The Enforcement Directorate (ED) on Friday launched a massive search operation across multiple cities as part of its probe into an alleged Rs 12,000-crore fraud linked to major real estate players including Jaypee Infratech and Jaypee Associates Limited, reported IANS. The case falls under the ambit of the Prevention of Money Laundering Act (PMLA), and involves suspected financial misconduct related to large-scale homebuyer and investor funds.

The sweeping raids covered 15 locations spread across the Delhi-NCR region and Mumbai. According to officials, the searches targeted offices and assets linked not just to the Jaypee group, but also to other prominent builders such as Gaursons, Gulshan, Mahagun, and Suraksha Realty.

Allegations Point To Massive Fund Diversion

At the heart of the investigation are allegations of criminal breach of trust, financial fraud, and illegal fund diversion. The ED suspects that funds collected from thousands of homebuyers and investors were misused or siphoned off, leaving many projects stalled and customers in limbo.

A source familiar with the investigation noted that the agency is examining complex layers of transactions that may have been used to mask illicit financial flows. The aim of the current raids is to gather documents, digital evidence, and financial records that can help trace the money trail.