The Enforcement Directorate (ED) has temporarily seized 707 acres of land in and around Aamby Valley City, located in Lonavala, Maharashtra. This land is valued at approximately Rs 1,460 crore. The move is part of an ongoing investigation into Sahara India and its associated entities under the Prevention of Money Laundering Act (PMLA), 2002.
The ED claims that the land was purchased with funds diverted from Sahara group companies and registered under fake or benami names.
ED Attaches Sahara Group’s Land in Aamby Valley
The Enforcement Directorate (ED) has taken strict action against the Sahara Group as part of a major money laundering investigation. The ED has attached 707 acres of land located in Aamby Valley City, a luxury township in Lonavala, Maharashtra. The estimated value of this land is around ₹1,460 crore.
This action was taken under the Prevention of Money Laundering Act (PMLA), 2002, which allows the ED to seize properties that are believed to be bought with illegally earned money. The investigation is part of a larger case involving financial irregularities by Sahara India and its related companies.
According to an ED official, the land was not purchased directly in the name of the Sahara Group. Instead, it was bought using money that was allegedly moved illegally from various Sahara companies and registered under benami names. “Benami” means the property was bought under someone else’s name to hide the real owner. This is often done to escape government rules and taxes.
The ED believes this land deal is part of a bigger scam involving the misuse of public funds and money laundering. Investigations are still ongoing, and more assets linked to the case may be identified in the future.
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ED Investigation Reveals Ponzi Scheme by Sahara Group
The Enforcement Directorate (ED) launched its investigation after police in Odisha, Bihar, and Rajasthan registered three First Information Reports (FIRs) against Humara India Credit Co-operative Society Ltd (HICCSL) and others.
These FIRs were filed under IPC Sections 420 (cheating) and 120B (criminal conspiracy). Across India, over 500 FIRs have been filed against different companies of the Sahara Group, with more than 300 of them related to money laundering offences under the Prevention of Money Laundering Act (PMLA).
According to the FIRs, the Sahara Group allegedly collected deposits from the public by making false promises. In many cases, people were reportedly forced to reinvest their money without consent, and even after repeated requests, they did not receive their maturity amounts.
The ED’s probe found that the Sahara Group was running a massive Ponzi scheme through multiple companies. These include:
- Humara India Credit Co-operative Society Ltd (HICCSL)
- Sahara Credit Cooperative Society Ltd
- Saharayn Universal Multipurpose Cooperative Society
- Stars Multipurpose Cooperative Society Ltd
- Sahara India Commercial Corporation Ltd
- Sahara India Real Estate Corporation Ltd
- Sahara Housing Investment Corporation Ltd
A Ponzi scheme is a type of fraud where money collected from new investors is used to pay returns to earlier investors, instead of generating profit through real business activities. Such schemes eventually collapse when there are not enough new investors to cover the payouts.
The ED continues to investigate how the funds were collected and where they were diverted, aiming to trace and recover the money taken from lakhs of unsuspecting depositors.
Sahara Group Alleged Investor Fraud and Money Laundering
The Sahara Group is facing serious allegations of misleading investors by promising high returns and offering agents attractive commissions. However, instead of using the funds for legitimate purposes, the money was allegedly misused without informing the investors and without any regulatory approval.
When the deposits matured, the group reportedly did not return the money. Instead, they convinced or pressured depositors to reinvest in new schemes. To cover this up, the group allegedly manipulated records to falsely show that repayments had been made.
According to ED officials, Sahara Group continued to collect new deposits even though they were already struggling to repay existing investors. The investigation revealed that some of the diverted funds were used to buy properties under fake names (benami), cover personal expenses, and support a lavish lifestyle. In certain cases, group assets were sold with part of the payments made in unaccounted cash, further cheating the investors.
As part of the probe, the ED recorded statements from depositors, agents, and Sahara employees under Section 50 of the PMLA. During raids, the agency also seized unexplained cash worth ₹2.98 crore.
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FAQs
Q.1. Why did the Enforcement Directorate seize Sahara Group’s land in Aamby Valley?
Ans. The ED seized the land as part of a money laundering investigation under the PMLA, alleging that it was purchased using illegally diverted funds from Sahara group companies.
Q.2. What is the value of the seized Sahara Group land in Aamby Valley?
Ans. The seized land in Aamby Valley City, Maharashtra, is estimated to be worth ₹1,460 crore.
Q.3. What is the Sahara Group accused of in the ED investigation?
Ans. The group is accused of running a Ponzi scheme, misusing public deposits, creating benami properties, and failing to repay investors upon deposit maturity.
Q.4. Which Sahara Group companies are under investigation by the ED?
Ans.Companies include Humara India Credit Co-operative Society Ltd, Sahara Credit Cooperative Society Ltd, Saharayn Universal Multipurpose Cooperative Society, and others.
Q.5. What action has the ED taken apart from seizing land?
Ans. The ED conducted raids, recorded statements from stakeholders under PMLA Section 50, and seized ₹2.98 crore in unexplained cash during the investigation.
