NEW DELHI: The Enforcement Directorate (ED) has confiscated ₹6.3 crore in cash and jewellery valued at ₹7.5 crore during investigations into a Delhi-based real estate company accused of defrauding homebuyers, which is currently facing insolvency proceedings, as reported on Saturday.
The operation, conducted under the Prevention of Money Laundering Act (PMLA), began on Friday, targeting 10 locations associated with former directors, promoters, and related entities of Earth Infrastructures Ltd. (EIL) in Delhi and Gurugram.
The company has been undergoing a corporate insolvency resolution process (CIRP) since June 2018, according to official records.
The ED’s investigation was prompted by five FIRs from the Delhi Police’s Economic Offences Wing, along with a complaint from the Serious Fraud Investigation Office (SFIO), which is part of the Ministry of Corporate Affairs.
During the searches, the ED seized ₹6.3 crore in cash, ₹7.5 crore in jewellery, some silver bullion, and luxury watches.
The company and its affiliates had launched various real estate projects under the ‘Earth’ brand throughout Delhi-NCR and Lucknow. Major projects include Earth Towne, Earth Sapphire Court, Earth Copia, Earth Techone, Earth Iconic, Earth Titanium, Earth Elacasa, Earth Gracia, and Earth Skygate.
These entities raised ₹2,024.45 crore from over 19,425 homebuyers and investors by guaranteeing “timely” delivery of residential and commercial units, coupled with assured returns, the ED noted.
However, despite collecting substantial advances, many projects were left unfinished, and buyers did not receive possession of their units. It is alleged that funds were redirected to land acquisitions in Gurugram, Delhi, and Rajasthan or funneled into shell companies.
