Lucknow, April 19 Enforcement Directorate (ED) conducted extensive search operations at eight locations across Agra, Meerut, Noida, and Delhi in connection with a large-scale financial fraud involving M/s Unnati Fortune Holdings Limited (UFHL) and its promoter, Anil Mithas.
In a significant development, the ED has taken Anil Mithas into custody for seven days, following an order by the court.
During the recent raids, the agency recovered crucial documents, sale deeds, investment records, and digital evidence, which are currently under scrutiny, the ED said in a statement.
Officials said the evidence will be used to confront Mithas during interrogation as efforts continue to track the diverted funds.
According to the statement, the searches were carried out under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, targeting residential and office premises associated with UFHL and related entities.
ED officials said the operations aimed to trace and seize the "Proceeds of Crime" allegedly siphoned off by Anil Mithas and collect evidence of financial irregularities.
The investigation followed multiple FIRs lodged by Uttar Pradesh Police and the Delhi Economic Offences Wing against UFHL, its promoters, and others under various sections of the Indian Penal Code.
The ED has alleged that UFHL collected a staggering Rs 522.90 crore from homebuyers between 2012 and 2019 for a residential and commercial project named Aranya, located in Sector-119, Noida.
Despite the massive inflow of funds, the project failed to meet its construction deadlines, leading to widespread complaints by homebuyers to forums such as UP-RERA and local police, said the release.
In 2018, the situation escalated when a financial creditor filed for insolvency proceedings against the company at the National Company Law Tribunal (NCLT), Delhi, a case that remains pending.
According to the ED, forensic audits conducted by firms such as 'Currie & Brown' and 'BDO India LLP' have revealed that large sums meant for construction were instead diverted to shell companies, related entities, and defunct firms.
The money was moved through bogus transactions, including fake loans, inflated share premiums, and advance payments for non-existent materials. Several firms allegedly forfeited the money under dubious circumstances, severely affecting project progress and leaving hundreds of homebuyers in financial distress.
According to the ED statement, the investigation also found that multiple flats were fraudulently sold to more than one buyer, pointing to a deeper web of criminal conspiracy and organised financial fraud.
Charges under IPC Sections 420 (cheating) and 120-B (criminal conspiracy) have been pressed against the promoters.
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