Illegal construction in Vasai: ED searches 12 locations, including Vasai-Virar civic chief home

The ED’s searches were based on certain revelations made in the probe earlier—that alleged bribes, in the range of ₹20-25 per square foot (sq ft), were paid to certain senior civic officials for approving the illegal building plans

MUMBAI: The Enforcement Directorate (ED) on Tuesday conducted searches at 12 locations in Mumbai, Pune and Nashik, including the residence of former Vasai-Virar city municipal corporation (VVCMC) commissioner Anil Pawar, as part of its money-laundering investigation into the construction of illegal buildings in Vasai East, which were demolished as per court orders earlier this year.

Following a high court order, all 41 buildings were demolished in February, leaving around 2,500 residents homeless

The searches were conducted at the premises of Pawar’s relatives and associates as well, and one such search reportedly yielded over ₹1 crore in cash. ED officials said that the agency was intensifying its probe into allegations concerning the lack of civic action against the illegal buildings for years despite many complaints. It is also probing a suspected cartel of architects, chartered accountants, intermediaries and VVCMC officials that was allegedly responsible for large-scale illegal construction within the jurisdiction of the municipal corporation, the officials added.

The ED’s searches on Tuesday were based on certain revelations made in the probe earlier—that alleged bribes, in the range of ₹20-25 per square foot (sq ft), were paid to certain senior civic officials for approving the illegal building plans, while ₹10 per sq ft was allegedly paid to some junior civic officials. These allegations were made by several suspects and witnesses questioned by the ED and certain chats found in the mobile phones of individuals covered in the probe. Officials said these were currently being verified.

The 41 illegal buildings were built on a 60-acre plot in Vasai East, of which 30 acres was reserved for a sewage treatment plant and a dumping ground. The Mira-Bhayandar police registered multiple cases against builders and local henchmen in connection with their construction, based on which the ED registered an ECIR (Enforcement Case Information Report) and commenced its probe.

According to the ED, the accused builders and developers had deceived the public by constructing the illegal buildings on reserved land. Despite knowing that the buildings were unauthorised and would eventually be demolished, they sold the apartments to poor, gullible customers—mostly migrant workers and shopkeepers—by fabricating a range of approval documents.

The Bombay high court had, on July 8, 2024, ordered the demolition of the 41 buildings. A special leave petition in the Supreme Court filed by families living in them was dismissed and all the buildings were demolished early this year, leaving around 2,500 families homeless.

Earlier, on May 14-15, the ED conducted searches at 13 locations in Vasai-Virar and Hyderabad in Telangana. The Hyderabad residence of Y Reddy, then deputy director (town planning) at VVCMC, and the Nalasopara residence of former VVCMC corporator S Gupta were scoured thoroughly. The searches led to the seizure of ₹8.68 in cash and diamond-studded jewellery and bullion worth ₹23.25 crore.

Reddy was subsequently suspended by the VVCMC and ordered to face a departmental inquiry. The ED shared the details of its findings against him with the state Anti-Corruption Bureau (ACB), which had contacted it, officials said.