Jewellery, Cash Worth Rs 31 Crore Seized From Maharashtra Civic Body Official

The Enforcement Directorate has seized cash amounting to Rs 9.04 crore and diamond-studded jewellery worth Rs 23.25 crore during searches at 13 locations in Mumbai and Hyderabad for the alleged illegal construction of residential buildings on government and private land in the Vasai Virar Municipal Corporation (VVMC) since 2009, officials said on Thursday.

The operation that started on Wednesday and continued till Thursday resulted in the seizure of cash amounting to Rs 8.6 crore and diamond-studded jewellery and bullion worth Rs 23.25 crore from the premises of YS Reddy, Deputy Director (Town Planning), VVMC.

The case pertains to the alleged illegal construction of residential and commercial buildings on government and private land under the VVMC's jurisdiction since 2009.

"Over a period of time, 41 illegal buildings were constructed on the land reserved for 'Sewage Treatment Plant' and 'Dumping Ground' as per the approved development plan of Vasai Virar City," the Enforcement Directorate said in a statement.

During its investigation, the federal agency found large-scale illegal construction in the area that has been going on since 2009 with close connivance of various VVMC officials, it said.

The documents found during the searches provide incriminating material exposing a large-scale scam of illegal construction in the Vasai Virar area.

"The accused builders and developers have deceived the general public at large by constructing illegal buildings on such land and subsequently, selling those to them by fabricating approval documents," the agency said.

It said the developers committed a fraud by misleading people into buying rooms in the unauthorised buildings even though they had prior knowledge that the structures were slated to be demolished.

The Enforcement Directorate initiated its investigation on the basis of multiple FIRs lodged by the Mira Bhayandar Police Commissionerate against builders, local henchmen and others, it said.

"Enforcement Directorate, Mumbai Zonal Office has conducted search operations at 13 different locations across Mumbai and Hyderabad under the provisions of the Prevention of Money Laundering Act (PMLA), 2002 on May 14 and May 15. The search operation led to seizure of Rs 9.04 crore (approx.) cash and Rs 23.25 crore worth of diamond-studded jewellery and bullion and large number of incriminating documents," the statement said.

The Bombay High Court had ordered the demolition of all 41 buildings on July 8, 2024. The Supreme Court had not given any relief against the order and dismissed a special leave petition (SLP) filed by the families residing in these structures.

The demolition of the 41 buildings was completed by the VVMC on February 20. 

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