ED Arrests Ex-Promoters of Real Estate Firm for Massive Fraud
The Directorate of Enforcement (ED) has arrested Raman Puri, Varun Puri, and Vikram Puri, former promoters and ex-directors of Universal Buildwell, under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, in connection with an alleged real estate fraud, sources said.
On Wednesday, the accused were produced before a special court in Gurugram and were remanded to the custody of the anti-money laundering agency until July 29. The trio had been absconding for over seven years despite repeated court summons and had been declared proclaimed offenders by various courts in related cases. They were ultimately apprehended by the police.
The ED initiated its investigation based on over 30 FIRs registered under various relevant sections of law across Delhi-NCR against the real estate firm and its promoters. The complaints alleged that the company failed to deliver real estate projects on time, thereby defrauding homebuyers. The company was later subjected to Corporate Insolvency Resolution Process (CIRP), resulting in the approval of a resolution plan in favor of homebuyers and other financial creditors. The National Company Law Tribunal (NCLT) ordered that some assets be handed over to homebuyers while the rest be liquidated.
It has come to light that most homebuyers had invested funds before 2010. Due to non-completion of projects allegedly stalled by the ex-promoters, many buyers are still awaiting possession of their flats or commercial spaces. The case involves the alleged fraudulent mobilization of funds from homebuyers and other investors by the accused, who made false promises of completing the projects by 2010.
According to the ED’s findings, the promoters also promised assured returns to investors in commercial projects and have been accused of cheating financial institutions through forgery. Data collected by the agency from the resolution professional revealed that the company, through its promoters, had collected over ₹1,000 crore over a span of 12 years across eight different projects in Gurugram and Faridabad.
Only a part of the collected funds was allegedly used for construction and development. A significant portion was siphoned off to purchase land and other assets for personal gain through criminal misappropriation and forgery. Further investigation is underway, sources added.
