Patra Chawl case: ED attaches assets worth ₹73 Cr

ED attaches ₹73.62 crore assets in money laundering probe of Patra chawl redevelopment case involving Pravin Raut, Sanjay Raut, and others.

MUMBAI: The Enforcement Directorate (ED) has provisionally attached immovable properties worth ₹73.62 crore as part of its money laundering probe into alleged irregularities in redevelopment of Patra chawl by Guru Ashish Construction Pvt Ltd (GACPL). Attached assets include multiple land parcels belonging to accused Pravin Raut, a former GACPL director and alleged acquaintance of Shiv Sena (UBT) Rajya Sabha member Sanjay Raut, and his associates in and around Palghar, Dapoli, Raigad and Thane.

HT Image

The ED began its probe in the case on the basis of a first information report (FIR) registered by the Economic Offences Wing (EOW) of Mumbai police. The FIR was based on a complaint by the executive engineer of MHADA, Mumbai, and the accused included GACPL and builder Rakesh Kumar Wadhwan and his son Sarang Kumar Wadhwan. The chargesheet against them was filed on December 11, 2020.

ED’s probe revealed that GACPL, which was entrusted with the redevelopment of Patra chawl, signed a tripartite agreement with MHADA and the housing society. According to this agreement, GACPL was supposed to provide flats to 672 tenants, develop additional flats for MHADA and sell the remaining land in the open market. But GACPL directors sold the entire floor space index fraudulently to nine developers for around ₹901.79 crore without constructing any tenements for the rehabilitation or additional flats for MHADA, said agency sources.

The probe further revealed Pravin Raut diverted around ₹95 crore from the proceeds of crime to his own bank accounts. He used a part of the proceeds to buy land from farmers or land aggregators, either in his own name or in the name of his firm, Prathmesh Developers. He also diverted a part of the proceeds to associates/ associate entities, and gifted some assets purchased using the proceeds to family members.

The assets attached by the ED worth ₹73.62 crore include such land parcels and properties acquired using the proceeds of crime, said an ED source. The agency has thus far attached assets worth ₹116.27 crore in the case, including assets worth ₹11.15 crore belonging to Pravin Raut and Sanjay Raut and properties worth ₹31.50 crore belonging Rakesh and Sarang Wadhawan in Goa.

The ED had earlier arrested Pravin Raut and Sanjay Raut on February 2, 2022, and August 1, 2022, respectively, for their alleged involvement in money laundering activities. They were granted bail by a city special court on November 9, 2022.

The ED filed its chargesheet in the case on March 31, 2022, against Rakesh Kumar Wadhawan, Sarang Wadhawan, Pravin Raut and M/s Guru Ashish Construction Pvt Ltd. Later, a supplementary chargesheet was filed in the court on September 15, 2022 against Rakesh Kumar Wadhawan, Sarang Wadhawan, Pravin Raut, Guru Ashish Construction Pvt Ltd and Sanjay Raut.