ED Investigates Senior Bureaucrats in Punjab Real Estate Scandal
The Enforcement Directorate (ED) is scrutinizing the roles of several high-ranking government officials in Punjab, including the Director of Town and Country Planning, Chief Town Planner, and other officials associated with the Change of Land Use (CLU) approval process for real estate projects.
- The ED is also investigating officials in the Housing and Urban Development Department.
- The agency is examining the Suntech City project in New Chandigarh, which is at the center of a multi-crore case involving alleged forgery of landowners' consent letters.
The ED arrested Ajay Sehgal, a jeweller-turned-real estate developer and promoter of the Indian Cooperative House Building Society, last night in connection with the case.
Scope of Investigation
- The ED is probing more than a dozen real estate projects where authorities allegedly revoked only partial CLUs under Section 85 of the PRTPD Act instead of initiating stricter punitive proceedings under Section 90.
- The agency is also examining why no FIRs were registered under the Punjab Apartment and Property Regulation Act (PAPRA), 1995, despite alleged large-scale violations in several projects.
Allegations of Corruption and Influence Peddling
The investigation has revealed that Sehgal had prepared fake consent letters with respect to 30.5 acres of land of 15 landowners, which were used to obtain CLU approvals for the Suntech City project.
- The ED has also found that Sehgal had connections to influential politicians and bureaucrats and was involved in several high-profile real estate projects in the Chandigarh-Mohali-New Chandigarh area.
- The agency is probing reports that certain senior Punjab Police officials allegedly pushed for the quashing of the FIR against Sehgal, which could have compromised the ED's money laundering investigation.
Previous Searches and Arrests
The ED carried out searches on eight premises linked to Indian Cooperative House Building Society and ABS Township Private Limited on May 7.
- The agency has also arrested Sehgal in connection with the multi-crore case involving alleged forgery of landowners' consent letters.
Key Figures Involved: Ajay Sehgal, Director of Town and Country Planning, Chief Town Planner, officials in the Housing and Urban Development Department, and senior Punjab Police officials.