The Enforcement Directorate (ED) has launched an investigation into the Bhutani Group, a prominent real estate company, over alleged financial irregularities and misappropriation of investor funds.
The group reportedly collected over Rs 3,500 crore from investors for various projects but failed to allocate promised plots. Instead, funds were allegedly diverted for personal property acquisitions, including Rs 200 crore invested in Singapore and the US.
ED has seized multiple property documents and frozen the bank accounts of those implicated.
Bhutani Group’s proposed project in Sancoale, Goa, has faced strong opposition from locals and activists. The project, which includes around 750 five-star flats in Savarfond-Sancoale, has been met with multiple protests.
Despite local resistance, the government and panchayat continue to support the development.
A petition challenging the project’s permits has been filed in the Goa Bench of the Bombay High Court, where hearings are currently underway.
The ED’s Gurugram zonal office recently conducted search operations at 12 locations across Delhi, Faridabad, and the National Capital Region (NCR), targeting WTC Group, its promoter Ashish Bhalla, and Bhutani Group’s promoter Ashish Bhutani.
These raids, carried out under the Prevention of Money Laundering Act (PMLA), 2002, exposed large-scale financial misconduct, including illicit overseas investments.
The probe was triggered by multiple FIRs registered by the Economic Offences Wing (EOW) in New Delhi and Faridabad, following complaints from homebuyers alleging fraud, breach of trust, and criminal conspiracy. The FIRs claim that WTC Faridabad Infrastructure Pvt Ltd misled buyers into investing in a project in Sector 111-114, Faridabad, but failed to deliver plots for over a decade.
Authorities also seized sale deeds, registration papers, digital evidence, and Rs 1.5 crore worth of jewellery and bullion.
In response to the probe, Bhutani Infra denied any financial or operational links with WTC, asserting that no land or funds were transferred between the two companies. Bhutani Infra claimed to have severed all ties with WTC in February 2025, just six months after an initial MoU was signed in July 2024. The company assured full cooperation with the investigation while extending support to affected investors.
Amid the controversy, thousands of investors under the Worried Troubled Customer Association (WTCA) have urged the government to step in. The alleged real estate fraud, spanning four states and 17 projects, has left over 20,000 homebuyers without completed developments. WTCA has accused regulatory bodies such as SEBI, RERA, and SFIO of inaction despite mounting evidence. They claim an emergency application under the Companies Act has been stalled for 28 months, with repeated delays in NCLT hearings.
ED Investigation: Bhutani Group under probe for financial irregularities; Rs 3,500 crore collected from investors misappropriated.
Funds Diverted: Allegations of Rs 200 crore invested in Singapore and the US instead of project development.
Goa Project Controversy: Strong opposition to Bhutani’s Sancoale project; locals and activists protest, case in Bombay High Court.
ED Raids: Searches at 12 locations in Delhi-NCR targeting WTC Group, Bhutani Group, and key promoters.
Ponzi-Like Scheme: Over Rs 3,500 crore raised across 15 projects, with minimal project deliveries.
Seized Assets: ED confiscated property documents, digital evidence, and Rs 1.5 crore in jewellery and bullion.
Bhutani Group’s Stand: Company denies involvement with WTC, claims complete disassociation since February 2025.
Investor Outrage: 20,000 homebuyers affected; WTCA urges PM Modi and MCA for immediate intervention.
WTCA has called upon Prime Minister Narendra Modi and the Ministry of Corporate Affairs to intervene, demanding swift action against those responsible to ensure justice for defrauded investors.
(This Content is Based on Syndicate Feed and Agency Inputs )