News Summary
The Enforcement Directorate (ED) has frozen assets worth ₹12.71 crore related to a major land scam involving the Vasai-Virar Municipal Corporation. This investigation has revealed the illegal construction of numerous buildings on land meant for sewage treatment and waste disposal, often facilitated by forged documents. The ED’s ongoing raids are part of a larger effort to uncover corruption linked to various officials and developers. Future actions aim to trace financial connections and identify additional beneficiaries of this extensive scam.
ED Freezes Assets Worth ₹12.71 Crore in Vasai-Virar Land Scam Investigation
The Enforcement Directorate (ED) has ramped up its investigation into a significant land scam involving the Vasai-Virar Municipal Corporation (VVMC), freezing assets valued at approximately ₹12.71 crore. This action is part of a broader probe that delves into illegal land activities linked to several individuals, including a key suspect, Jayesh Mehta.
On July 1, 2025, the ED initiated fresh search operations at 16 locations across Mumbai, underlining the seriousness of the investigation. The actions are conducted in accordance with the Prevention of Money Laundering Act (PMLA), 2002.
Details of the Investigation
The investigation has unveiled a shocking scenario of illegal construction activities. These include the unauthorized development of 41 residential-cum-commercial buildings on land designated for sewage treatment and waste disposal, both government and private. These structures, built since 2009, were sold to unsuspecting buyers, often using forged approval documents.
Developers involved in these constructions were allegedly well aware of the unauthorized status of the buildings. In a major ruling, the Bombay High Court had ordered the demolition of all 41 buildings on July 8, 2024. However, a Special Leave Petition filed by affected families was dismissed by the Supreme Court, following which the VVMC completed the demolition of the illegal structures on February 20, 2025.
Asset Seizures and Evidence Collected
During the latest raids, the ED seized cash amounting to ₹26 lakh, along with a wealth of incriminating documents and digital devices. The investigation has further revealed a deep-rooted nexus involving architects, chartered accountants, and liaison agents, alongside officials from the VVMC, indicating widespread corruption.
Seized digital evidence has reportedly exposed manipulation in building approvals and the coordination of activities that facilitated large-scale illegal construction. The cartel behind this operation is believed to have exploited regulatory loopholes while fabricating essential documents.
Previous Raids and Continued Scrutiny
Earlier in May 2025, a preliminary raid conducted by the ED led to the recovery of assets estimated at ₹8.68 crore in cash, in addition to approximately ₹23.25 crore worth of diamond-studded jewelry and bullion. The depth of this investigation has led to increased scrutiny of a senior VVMC official from the town planning department, who is suspected of possessing significant unaccounted assets.
Future Actions
The ED continues to trace the financial trail linked to these activities, with hopes of identifying additional beneficiaries of this extensive scam. With the investigation unfolding, further revelations are anticipated as the agency probes deeper into the large-scale corruption that has reportedly plagued the VVMC.
As the ED’s investigation continues, it underscores the need for more stringent oversight in construction activities and governance, particularly in regions dealing with illicit land dealings. The gravity of the situation has drawn attention to the regulatory measures in place, urging a reevaluation of standards to prevent such occurrences in the future.
Deeper Dive: News & Info About This Topic
Additional Resources
- Daily Jagran
- Wikipedia: Real estate scams
- Times of India
- Google Search: Vasai Virar land scam
- Indian Express
- Google Scholar: land scam India
- Hindustan Times
- Encyclopedia Britannica: real estate fraud
- The Hindu
- Google News: land scam investigation
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