Did the ED Attach Rs 400 Crore Assets in the Jaypee Group Money Laundering Case?
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Synopsis
In a significant development, the ED has provisionally attached assets worth Rs 400 crore in connection with the Jaypee Group's money laundering case, highlighting issues of fraud and fund diversion affecting thousands of homebuyers. This article delves into the implications of this legal action and the ongoing investigations.
Key Takeaways
- ED has provisionally attached assets worth Rs 400 crore.
- Investigation initiated based on homebuyers' complaints.
- Allegations include fund diversion and fraud.
- Key figures implicated include Manoj Gaur.
- Ongoing inquiries aim to hold accountable those involved.
New Delhi, Jan 7 (NationPress) The Directorate of Enforcement (ED) from its Delhi Zonal Office has provisionally attached immovable assets valued at approximately Rs 400 crore under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, as part of a money laundering investigation involving the Jaypee Group, according to an official statement released on Wednesday.
The properties in question belong to M/s Jaiprakash Sewa Sanstha and M/s Page 3 Buildtech Private Limited. This action is part of an ongoing inquiry into alleged widespread fraud and the diversion of funds by M/s Jaypee Infratech Ltd (JIL), M/s Jaiprakash Associates Ltd (JAL), and their affiliates concerning housing projects Jaypee Wishtown and Jaypee Greens.
The ED commenced the investigation following multiple FIRs filed by the Economic Offences Wings (EOW) of the Delhi and Uttar Pradesh Police based on complaints from homebuyers. The FIRs accuse JIL, JAL, and their promoters and directors, including Manoj Gaur, of committing criminal conspiracy, cheating, and breach of trust.
According to the ED, funds amassed from thousands of homebuyers for the construction and completion of residential projects were misappropriated for unrelated purposes, resulting in unfinished projects and defrauded homebuyers.
The investigation has indicated that JAL and JIL received around Rs 14,599 crore from over 25,000 homebuyers, a figure acknowledged before the National Company Law Tribunal (NCLT). A significant portion of these funds was allegedly misdirected for non-construction activities and funneled to related group entities, including Jaypee Sewa Sansthan (JSS), Jaypee Healthcare Ltd (JHL), and Jaypee Sports International Ltd (JSIL).
Furthermore, the ED discovered that Gaur, the Managing Trustee of Jaypee Sewa Sansthan, was a primary beneficiary of the diverted funds. The investigation also revealed the transfer of assets from JIL and JAL to other entities, including M/s Page 3 Buildtech Private Limited, allegedly overseen by Honey Katiyal.
Previously, on May 23, 2025, the ED executed searches at 15 locations across Delhi, Noida, Ghaziabad, and Mumbai, targeting the offices and premises of JAL and JIL. During these searches, the agency confiscated a substantial amount of financial and digital documentation indicating money laundering and fund misdirection.
The investigation has confirmed Gaur's central role in orchestrating and implementing the alleged fund diversion through a complicated network of intra-group transactions. He was arrested on November 13, 2025, under Section 19 of the PMLA, following due legal processes, and is currently held in judicial custody.
The inquiry remains ongoing.
Point of View
This situation exemplifies the critical need for accountability in real estate dealings, particularly in safeguarding the interests of homebuyers who have been adversely affected. It underscores the importance of vigilance against financial irregularities.
NationPress
08/01/2026
Frequently Asked Questions
What is the reason behind the ED's action against the Jaypee Group?
The ED's action stems from allegations of money laundering and fraud involving the diversion of funds collected from homebuyers for construction projects.
How much money was allegedly diverted from homebuyers?
Investigations suggest that around Rs 14,599 crore was collected from over 25,000 homebuyers, much of which was allegedly misused.
Who are the key figures involved in this case?
Key figures include Manoj Gaur, the Managing Trustee of Jaypee Sewa Sansthan, and entities such as M/s Jaiprakash Sewa Sanstha and M/s Page 3 Buildtech.
What are the next steps in the investigation?
Further investigations are ongoing to uncover the full extent of the alleged fund diversion and to establish legal accountability.
What legal provisions are applicable in this case?
The case falls under the Prevention of Money Laundering Act (PMLA), which allows the ED to attach assets and initiate inquiries into financial misconduct.
