PMLA court summons Praful Lodha in ED’s money laundering probe

The court granted the ED’s plea seeking his production from Arthur Road Jail, stating that his presence was necessary to confront him with financial records, examine witness statements and trace the alleged proceeds of crime

MUMBAI: A special Prevention of Money Laundering Act (PMLA) court on Monday ordered that Praful Lodha, currently in judicial custody in multiple sexual offence and cheating cases, be produced before it on May 6 for questioning in an Enforcement Directorate (ED) probe into an alleged ₹62.5 lakh investment fraud.

PMLA court summons Praful Lodha in ED’s money laundering probe

This adds a money-laundering angle to the already controversial case involving multiple FIRs of sexual exploitation and cheating.

The court granted the ED’s plea seeking his production from Arthur Road Jail, stating that his presence was necessary to confront him with financial records, examine witness statements and trace the alleged proceeds of crime.

This development further aggravates a case that has already sparked political controversy in Maharashtra. The opposition alleges Lodha’s involvement in a wider “honeytrap” network targeting public representatives- claims the ruling coalition denies.

According to the agency, the money laundering probe stems from a cheating case in which a complainant alleged being duped of ₹62.5 lakh on promises of high returns, a scheduled offence under the PMLA. The ED said it is examining whether the funds were layered and projected as legitimate assets.

Independently of the political sparring, the ED has placed on record a pattern of allegations across multiple FIRs in Mumbai, Pune and Nashik, accusing Lodha of luring women with false promises of employment, sexually exploiting them, and threatening to circulate explicit material if they resisted.

Detailing the alleged modus, the ED told the court that statements and case records indicate victims were called to hotels or other locations on the pretext of employment or education opportunities and coerced into sexual acts, with threats of circulating nude photographs to ensure compliance.

On the financial front, the ED alleged that Lodha and his family acquired immovable properties in recent years without commensurate legitimate income. During searches, investigators said they recovered documents related to property purchases and construction, including land acquired in his son’s name.

The ED claimed bank records show cash deposits routed through accounts and used for property transactions and construction expenses. Statements recorded under the PMLA indicate substantial funds were arranged despite no verifiable income, leading investigators to classify them as proceeds of crime.

The agency said Lodha’s custodial production is key to tracing the money trail, identifying beneficiaries and establishing links in the laundering chain.

The court directed jail authorities to produce Lodha on May 6 and informed the sessions court concerned to ensure compliance.