ED raids Punjab Minister Sanjeev Arora's home again in PMLA case
Synopsis
The ED's third major action against Punjab Cabinet Minister Sanjeev Arora in under two years — this time under PMLA — targets alleged ₹100 crore fake GST fraud and round-tripping of funds between Dubai and India, even as AAP calls it BJP-directed political targeting.
Key Takeaways
The ED raided Punjab Cabinet Minister Sanjeev Arora's residence in Sector 2, Chandigarh on 9 May 2025 under the PMLA, 2002 .
Around 20 vehicles and heavy security were deployed; searches covered four premises linked to Arora and associates across Chandigarh and Delhi-NCR .
The probe alleges fake GST purchase bills worth over ₹100 crore for mobile phones, fraudulent ITC claims, and round-tripping of funds between Dubai and India .
Office premises of Hampton Sky Realty Limited , linked to Arora, were also searched.
Punjab Minister Harpal Singh Cheema alleged the raids were politically motivated by the Bharatiya Janata Party (BJP) .
This follows earlier ED raids on Arora under FEMA in April 2025 and a separate money laundering case in 2024 .
The Enforcement Directorate (ED) on Saturday, 9 May conducted fresh raids at the residence of Punjab Cabinet Minister Sanjeev Arora in Sector 2, Chandigarh, deploying around 20 vehicles and heavy security personnel during the operation. The searches, carried out under the Prevention of Money Laundering Act (PMLA), 2002, targeted at least four premises linked to Arora and his associates across Chandigarh and the Delhi-NCR region.
Scope of the Search Operations
According to ED sources, the agency simultaneously searched five locations in Delhi, Gurugram, and Chandigarh, including the minister's official Cabinet residence and office premises of Hampton Sky Realty Limited — a company reportedly linked to Arora. Residential properties associated with his associates were also covered in the sweep.
What the ED Alleges
ED sources claimed the agency has detected an alleged case of large-scale money laundering involving Arora's company. The probe reportedly centres on fake GST purchase bills worth over ₹100 crore for mobile phones, allegedly obtained from non-existent firms based in Delhi to claim fraudulent Input Tax Credit (ITC) and GST refunds on export credit, along with duty drawback benefits. The investigation also reportedly includes allegations of subsequent exports and
Point of View
Industrial land misuse, and now PMLA — raises a legitimate question: is this a deepening investigation following the evidence, or a sustained pressure campaign against an AAP minister? Both possibilities deserve scrutiny. The allegations of fake GST billing and Dubai round-tripping are serious and, if proven, represent a significant exchequer fraud. But the pattern of repeated raids without a public charge sheet or arrest also fits a well-documented playbook of using central agencies in opposition-governed states. The Punjab government's political pushback is predictable; what is less predictable — and more consequential — is whether the ED will produce a court-ready case or let the raids themselves serve as the punishment.
NationPress
10 May 2026
Frequently Asked Questions
Why did the ED raid Punjab Minister Sanjeev Arora's home on 9 May 2025?
The ED conducted the raid under the Prevention of Money Laundering Act (PMLA), 2002, as part of a probe into alleged large-scale money laundering involving Arora's company. The agency claims to have detected fake GST purchase bills worth over ₹100 crore for mobile phones and alleged round-tripping of funds between Dubai and India.
What is Hampton Sky Realty Limited and how is it connected to the case?
Hampton Sky Realty Limited is a company reportedly linked to Punjab Cabinet Minister Sanjeev Arora. Its office premises were among the locations searched by the ED during Saturday's operation across Chandigarh, Delhi, and Gurugram.
Has Sanjeev Arora been raided by the ED before?
Yes, this is at least the third round of ED scrutiny for Arora. In April 2025, the agency raided him under FEMA, and in 2024, he was raided in a separate money laundering case linked to alleged misuse of industrial land for residential projects.
What did Punjab's AAP government say about the raids?
Punjab Cabinet Minister Harpal Singh Cheema alleged political targeting, stating that the BJP had 'once again targeted' Arora and calling the raid 'part of the BJP's design.' The AAP government has consistently denied wrongdoing and framed central agency actions as politically motivated.
What are the specific allegations in the current PMLA case?
ED sources allege that multiple fake GST purchase bills were obtained from non-existent Delhi-based firms to claim fraudulent Input Tax Credit (ITC), GST refunds on export credit, and duty drawback benefits. The probe also includes alleged exports and round-tripping of illicit funds between Dubai and India, causing loss to the national exchequer.
