Mumbai, Sep 25 (IANS) In a case linked to Rs 95 crore money laundering, a Special PMLA Court in Mumbai issued notice to two developers following non-fulfillment of a commitment to the Maharashtra government on building dwelling units for those displaced during Patra Chawl Project, an ED official said on Thursday.

The Special PMLA Court took cognisance and issued process in the matter of the second Supplementary Prosecution Complaint (SPC) filed by the Directorate of Enforcement (ED), Mumbai Zonal Office, on August 12 in the case against Guruashish Construction Pvt. Ltd. (GACPL) and others.

The Court took cognizance of the SPC on September 20, the ED official said.

Investigation by the ED revealed that GACPL, entrusted with the redevelopment of the Patra Chawl Project for the rehabilitation of 672 tenants, has been involved in significant financial misconduct.

The ED official said the Supplementary Complaint has been filed naming two persons or entities as new accused — Prathmesh Developers LLP, a partnership firm of Pravin Raut, and Jitendra Madanlal Mehta, proprietor of Mehta Developers, for their role in laundering Proceeds of Crime.

The probe agency initiated investigation on the basis of an FIR registered by the Economic Offences Wing (EOW), Mumbai, under various sections of IPC, 1860 against GACPL, Rakesh Kumar Wadhwan, Sarang Kumar Wadhwan, and others, based on complaint filed by the Executive Engineer, MHADA, Mumbai and chargesheet dated December 11, 2020.

A tripartite agreement was signed between the society, MHADA and GACPL, wherein the developer (GACPL) was supposed to provide flats to 672 tenants, develop proportionate area for MHADA, and thereafter to sell his portion in remaining land area.

However, the Directors of GACPL misled MHADA and managed to sell the Floor Space Index (FSI) fraudulently to developers without constructing the rehabilitation portion for the 672 displaced tenants and MHADA portion.

During the probe, the ED found that a part of the POC, amounting to Rs 95 crore, was diverted by Pravin Raut, Director of GACPL, to his personal bank accounts which was utilised for acquisition of various land parcels directly from farmers or land aggregators in his own name or in the name of his firm Prathmesh Developers.

Other accused, Jitendra Mehta, proprietor of Mehta Developer, was a close associate and confidant of Rakesh K. Wadhawan, Director/promotor of GACPL, since 2003.

Rakesh Wadhawan utilised funds representing Proceeds of Crim (PoC) and also operated the bank account of Mehta Developers, proprietorship firm of Jitendra Mehta for business activities of GACPL.

For the role of assistance in illegal activities, flats/units in Patra Chawl Project were admittedly given to Jitendra Mehta without any consideration.

Recently, the ED provisionally attached properties worth of Rs 5.20 crore of Jitendra Mehta and is family members.

This is in addition to previously attached assets amounting to Rs 73.62 crore of Pravin Raut and associates; assets worth Rs 11.15 crore belonging to Pravin Raut and Sanjay Raut and assets amounting to Rs 31.50 crore of Rakesh K. Wadhawan and Sarang Wadhawan, by this office.

In aggregate, the ED has attached assets amounting to Rs 121.5 crore in this case so far.

Earlier, the ED had filed the main Prosecution Complaint on April 1,2022, followed by one SPC on September 15, 2022.

–IANS

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