ED begins probe in Nalasopara illegal buildings case

The agency recently summoned Ajay Sharma, the caretaker of private land on which some of the illegal buildings were constructed, for questioning regarding the FIR he had filed in June 2023 into the alleged land grabbing, forgery, and cheating by the accused

MUMBAI: The Enforcement Directorate (ED) has started investigating an alleged land grabbing and money-laundering case that led to the construction—and eventual demolition—of 41 unauthorised buildings in Agarwal Nagar, Nalasopara East.

ED begins probe in Nalasopara illegal buildings case

The buildings, which were constructed on 60 acres of public and private land between 2010 and 2012, were demolished in January following orders from the Supreme Court, which declared that all 41 structures were unauthorised.

The demolition left at least 2,500 families homeless, leading to a discussion in the ongoing budget session of the Maharashtra legislature on the rehabilitation of the affected residents.

After the state government announced the formation of a committee to formulate a rehabilitation policy for the affected residents and members demanded the recovery of rehabilitation expenses from the VVCMC, the ED decided to launch an investigation into the case.

The agency recently summoned Ajay Sharma, the caretaker of private land on which some of the illegal buildings were constructed, for questioning regarding the FIR he had filed in June 2023 into the alleged land grabbing, forgery, and cheating by the accused, which included civic officials from the Vasai-Virar City Municipal Corporation (VVCMC).

The FIR, filed at the Achole police station, alleged that former VVCMC corporator Sitaram Gupta, his brother Arun Gupta and their accomplices had acquired 30 acres of land belonging to private owners and an additional 30 acres of land reserved for a dumping ground and a sewage treatment plant, and sold it to various developers after acquiring fake ownership documents.

The developers then constructed 41 buildings on the land and sold flats worth lakhs of rupees to thousands of families. In total, there have been transactions worth ₹500-1,000 crore, according to the FIR, which prompted the ED to launch an investigation on its own.

Sharma told HT that he responded to the ED’s summons and went to the agency’s office on Monday, where he was questioned for around seven hours. The ED asked him to produce documents and information about the bank account in which the alleged financial transactions took place. Since municipal officials are accused of protecting these unauthorised buildings, their role is also under inquiry and being verified, he said. “The ED officials have taken information about this entire process and the transactions that took place,” he added. The ED did not respond to a request to comment.

According to Sharma, he was appointed caretaker of a 10-acre plot in Agarwal Nagar by the owners, who are based in New Zealand, in the nineties. In 2008, when he went to inspect the plot, he noticed that a company called Prime Property Developers was constructing buildings there. “When I asked for the documents, Gupta and his associates assaulted me, after which I approached the Nalasopara police and a case was registered against them,” said Sharma, a resident of Vasai West.

Sharma also filed a public interest litigation in the Bombay high court regarding the matter in December 2022, following which the court ordered action to be taken against the unauthorised buildings. However, residents of the buildings took the matter to the Supreme Court, which eventually also declared the buildings unauthorised and asked civic authorities to demolish them.

In September 2023, the Economic Offences Wing of Mira-Bhayander-Vasai-Virar police arrested Gupta after discovering that he had allegedly prepared a bogus completion certificate for one of the buildings. The certificate was issued in the name of VVCMC, where he was a corporator, and the City And Industrial Development Corporation Of Maharashtra (Cidco).