Probe Agency Attaches Rs 264-Crore Assets Of Realty Firm In Laundering Case

The Enforcement Directorate (ED) has declared realty firm Shine City Group's founder, Rashid Naseem, a Fugitive Economic Offender (FEO) and secured confiscation of properties worth  Rs 127.98 crore in a real estate and investment scam following orders of the Special Court under the Prevention of Money Laundering Act (PMLA), Lucknow.

During the probe, searches were conducted at 18 premises, recovering key digital evidence, suspicious transaction trails and documents linked to money laundering. So far, assets worth Rs 264.10 crore have been attached, and eight associates have been arrested. Six prosecution complaints have also been filed against 38 accused entities and individuals.

The probe agency initiated proceedings after over 550 FIRs were registered by Uttar Pradesh Police, accusing Shine City of duping thousands of citizens through Ponzi-cum-pyramid schemes disguised as profitable real estate investment plans. Investigations revealed that the group floated numerous shell firms and siphoned off public deposits instead of developing genuine projects.

Naseem had absconded from India without any legal travel record and was found to be operating the scam from Dubai. Despite summons, a Non-Bailable Warrant,  a Look Out Circular and an Interpol Red Notice, he refused to return. Access to Zoom meeting logs used by Naseem to influence victims helped ED geo-locate him in the UAE - strengthening grounds for declaring him a fugitive.

On April 30, 2025, the Special Court declared him an FEO - one of the first cases under the Fugitive Economic Offenders Act in Uttar Pradesh. Subsequently, on December 3, 2025, the court ordered the confiscation of his assets and those linked to the Shine City network.

Alongside the crackdown, the probe agency is pursuing restitution for victims under Section 8(8) of PMLA. Over 6,500 affected investors have already filed claims after a public notice, and verification is currently underway. The confiscated properties are expected to facilitate direct compensation to victims who lost their life savings.

The probe agency stated that the action underscores its commitment to pursuing major economic offenders and ensuring that proceeds of crime are recovered and returned to the public.