ED attaches over ₹55-cr assets of Punjab minister Sanjeev Arora, linked entities

A provisional order has been issued under the Prevention of Money Laundering Act (PMLA) to attach bank accounts, fixed deposits, land, commercial premises and residential apartments in Ludhiana (Punjab), Gurugram (Haryana) and Chandigarh, said ED

The Enforcement Directorate has attached assets worth ₹55.57 crore belonging to arrested Punjab minister Sanjeev Arora, his family and a linked realty company under the anti-money laundering law.

Sanjeev Arora, 62, was arrested by the central agency from his official residence in Chandigarh on May 9 (HT)

Arora, 62, was arrested by the central agency from his official residence in Chandigarh on May 9 in an alleged ₹100-crore GST fraud case linked to mobile phone sales. He is currently under judicial custody in a Haryana jail.

A provisional order has been issued under the Prevention of Money Laundering Act (PMLA) to attach bank accounts, fixed deposits, land, commercial premises and residential apartments in Ludhiana (Punjab), Gurugram (Haryana) and Chandigarh held in the names of Hampton Sky Realty Limited (HSRL), Sanjeev Arora, his family members and associated entities, the agency said in a statement.

It did not specify what portion of the assets belonged to the Aam Aadmi Party (AAP) leader and his family. The ED stated that the total value of these properties was ₹55.57 crore.

Arora, a former chief managing director of HSRL, was the minister for power, industry and commerce. After his arrest, the Bhagwant Mann-led Punjab government allocated his portfolios to other ministers.

“The mobile phones were shown to have been procured locally from a network of supplier firms which were found to be largely shell/non-existent concerns, interlinked through a common mobile number and common e-mail IDs, and used merely to raise bogus invoices and provide accommodation entries without any actual movement of goods,” the agency said.

The exports, not backed by any genuine movement of goods, were shown to have been made to entities which were “beneficially controlled” by the same group of persons.

“The total proceeds of crime quantified in the case are ₹102.99 crore, with local sales still pending investigation,” the ED said.