Govt suspends ex-VVCMC chief Anil Pawar accused in construction scams

The ED initiated the investigation on the basis of multiple FIRs registered by the Mira Bhayandar Vasai Virar (MBVV) police against builders, local henchmen and others involved in the case, which pertains to the illegal construction of 41 residential-cum-commercial buildings on government and private land since 2009

MUMBAI: The state government on Tuesday suspended IAS officer Anil Pawar, who was arrested by the enforcement directorate (ED) on August 13 for his illegal activities during his tenure as the commissioner of the Vasai Virar City Municipal Corporation (VVCMC). The ED had sent a report to the state, which went to the CMO last weekend. Chief minister Devendra Fadnavis signed the file, ratifying Pawar’s suspension on Tuesday.

Govt suspends ex-VVCMC chief Anil Pawar accused in construction scams

The newly appointed VVCMC commissioner, Manoj Suryawanshi, has formed a committee to prepare a report on Pawar, which has been sought by the urban development department-II.

Pawar was transferred on July 17 from VVCMC to the post of CEO of the Slum Rehabilitation Authority but relinquished charge only on July 24. He was subsequently raided by the ED and questioned. The ED’s Mumbai zonal office had conducted search operations at 12 different locations across Mumbai, Pune, Nashik and Satana under the provisions of the Prevention of Money Laundering Act (PMLA) while investigating the numerous alleged VVCMC scams. The search operation led to the seizure of cash of ₹1.33 crore apart from a large number of digital devices and incriminating documents such as property documents in the name of Pawar’s relatives and benamidars.

The ED initiated the investigation on the basis of multiple FIRs registered by the Mira Bhayandar Vasai Virar (MBVV) police against builders, local henchmen and others involved in the case, which pertains to the illegal construction of 41 residential-cum-commercial buildings on government and private land since 2009. The buildings were constructed on land reserved for a sewage treatment plant and a dumping ground as per the approved development plan of Vasai Virar City.

“The accused builders deceived the public by constructing illegal buildings on such land and subsequently selling them by fabricating approval documents,” said the ED note. “Even with prior knowledge that these buildings were unauthorised and would eventually be demolished, the developers misled the people by selling units in these buildings, thereby committing a serious fraud.”

The Bombay high court, in its order dated July 8, 2024, had ordered the demolition of all 41 buildings. The families residing in the illegal buildings filed a Special Leave Petition before the Supreme Court but it was dismissed. The demolition of the buildings was completed by VVCMC on February 20 this year.

The ED investigation revealed that Pawar “organised a cartel” of VVCMC officers, including the deputy director of town planning Y S Reddy, junior engineers, architects, chartered accountants and middlemen. After Pawar took charge as VVCMC commissioner, a bribe amount was fixed at the rate of ₹20-25 per sq ft for him and ₹10 per sq ft for Reddy on the total area of the project. Reddy was arrested along with Pawar on August 13.

During the course of the search operation, many incriminating documents were seized which revealed that Pawar had created a number of shell entities in the name of his family members/ relatives/ benamidars to launder the bribe amount collected. “The formation of these shell entities coincided with his posting as VVCMC Commissioner,” said the ED press note. “The entities were primarily engaged in the business of construction and redevelopment of residential towers and warehouses.”