New Delhi – The Enforcement Directorate (ED) is getting a vote of confidence from India’s Supreme Court for its hard work putting homebuyers back in the hands of their rightful property. In the high‑profile Syndicate Bank case, where a group of fraudsters stole about ₹1,267 crore, the ED stepped in in 2016 to freeze the assets of the accused and stop the delay of millions of millions of dollars worth of flats.
The fraud involved a firm called Bharat Bomb and others who used the money they stole from Syndicate Bank to buy and build homes under the Royal Raj Vilas name, and to set up a company called Udaipur World Entertainment. Homebuyers who paid for these units found themselves unable to take possession because the developers vanished with the funds.
Under the Prevention of Money Laundering Act (PMLA) 2002, the ED attached 365 unsold residential units, 17 commercial spaces and two plots linked to the fraud. The heavy‑handed move froze the property until the real owners could claim it back.
In 2021, the National Company Law Tribunal (NCLT) opened an insolvency case against Udaipur World Entertainment, after homebuyers filed a petition in 2016. The NCLT cleared a resolution plan in 2022, which the ED said should not undo its PMLA attachment order. That tug‑of‑war over jurisdiction led the Supreme Court to step in.
On October 10, 2025, the Supreme Court praised the ED’s “steady, successful efforts to restore properties to innocent homebuyers.” The decision highlights how the agency’s investigations into financial misdeeds and money laundering have protected the interests of real owners and pulled them back from the clutches of fraudsters.
The court’s support underscores the ED’s key role in tackling big bank fraud cases and ensuring that victims see the fruits of their investments.
Source: ianslive
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