Mumbai, June 18 (IANS) The Enforcement Directorate (ED) has unearthed a massive illegal land compensation scam involving the fraudulent transfer of forest land and wrongful compensation claims, after searches conducted across Mumbai and Navi Mumbai under the Prevention of Money Laundering Act (PMLA), 2002.

On June 17, the ED’s Mumbai Zonal Office carried out coordinated search operations at multiple premises linked to the accused.

The raids resulted in the freezing of bank balances, fixed deposits, and mutual funds worth approximately Rs 44 crore. In addition, officials seized Rs 16.5 lakh in cash and a substantial cache of incriminating documents. The ED initiated its probe based on an FIR lodged by Panvel Police against J M Mhatre and Saiyyed Mohammad Abdul Hamid Qadri.

The case pertains to the illegal acquisition and tampering of government-owned forest land in Raigad district, specifically Survey Nos. 427/1 (41.70 hectares) and 436/1 (110.60 hectares) in Mauje Vahal, Taluka Panvel. Investigations revealed that the land had been acquired by the Maharashtra government in 1975 under the Maharashtra Private Forests (Acquisition) Act, with official land records reflecting the Forest Department as the rightful owner.

However, the accused allegedly manipulated the mutation entries in the land records, replacing the Forest Department’s name with their own. The fraud did not stop at the tampering of records. Portions of the illegally acquired land were sold to the National Highways Authority of India (NHAI), and in return, the accused claimed illegal compensation.

J M Mhatre received Rs 42.4 crore, while Qadri was paid Rs 9.69 crore by NHAI, based on the fraudulent ownership records. Mhatre, identified as the prime accused, is a prominent businessman and director of J M Mhatre Infra Pvt Ltd.

ED officials suspect the proceeds of this crime were laundered through investments in various financial instruments. The investigation is ongoing, with ED officials indicating that more individuals and shell entities may be under the scanner.

–IANS

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