The Enforcement Directorate(ED) has said it seized cash of Rs 1.70 crore and documents related to immovable assets during searches conducted against Jaypee Infratech Ltd (JIL), Jaiprakash Associates Ltd (JAL) and other entities in an alleged homebuyers’ fraud case linked money laundering investigation. The raids took place at 15 locations in Delhi, Noida, Ghaziabad, and Mumbai on May 23, under the provisions of the Prevention of Money Laundering Act (PMLA). “The search encompassed the offices and premises of JAL, its associated entities, and its promoter directors.
“Additionally, searches were executed at the offices and premises associated with key business partners of JAL, including Gaursons India Pvt Ltd, Gulshan Homz Pvt Ltd, and Mahagun Real Estate Pvt Ltd,” stated the central investigative agency in a statement released on Sunday. The money laundering case originates from FIRs filed by the Economic Offences Wing (EOW) of the Delhi Police and the Uttar Pradesh Police against companies such as JAL, JIL, and their promoters and directors.
The FIRs accuse these entities of engaging in extensive fraud and criminal conspiracy, which includes the dishonest inducement of homebuyers and investors to invest funds under the false pretense of being allotted residential apartments and plots in projects like Jaypee Wishtown (a JIL initiative) and Jaypee Greens (a JAL venture). Officials had previously indicated that the alleged fraud amounts to Rs 12,000 crore.
During the investigations, the Enforcement Directorate (ED) reported that financial records and electronic devices, along with documents pertaining to immovable properties owned by promoters, their relatives, and associated companies, in addition to cash amounting to Rs 1.70 crore, were confiscated. In a stock exchange announcement made on Saturday, Jaiprakash Associates stated, “the Enforcement Directorate (ED) has commenced searches at the company’s offices on 23rd May, 2025.”
The company confirmed that it continues to function normally in its business operations. “… the Company and its officials are fully cooperating with the authorities and are also supplying all pertinent information requested by the authorities during the search process,” Jaiprakash Associates mentioned. Jaiprakash Associates, a leading firm within the troubled Jaypee Group, is involved in various sectors including cement, construction, power, real estate, and hospitality, among others. The Jaypee Group’s subsidiary, Jaypee Infratech, has already been taken over by the Mumbai-based Suraksha Group.
