ED Attaches 1,023 Acres Of 'Benami' Land Linked To Sahara Group Across 16 Cities

In a significant development, the Enforcement Directorate (ED) has provisionally attached 1,023 acres of land assets belonging to Sahara Prime City Limited, valued at approximately Rs 1,538 crore. According to ED officials, the attached properties are spread across 16 cities in India, with allegations that the assets were acquired using funds diverted from Sahara Group entities and registered under benami names.

The attachment was carried out by the ED’s Kolkata Zonal Office under the Prevention of Money Laundering Act (PMLA). Officials noted that the market value of these land parcels, calculated using 2016 circle rates, is likely much higher today.

ED -Attachment

The properties are located in cities including Jaipur, Lucknow, Solapur, Bikaner, Hubli-Dharwad, Jammu, and Moradabad, among others. Notably, Bikaner holds significant land holdings, with over 168 acres, while Solapur contains more than 125 acres, and Hubli-Dharwad has 123.5 acres.

Other key land assets include Jammu -115.1 acres,  Lucknow 107.6 acres,  and Mysore 73.8 acres. 

Cities like Jaipur and Roorkee also hold substantial plots, measuring 61.7 acres and 51.3 acres respectively.

The portfolio is further strengthened by properties in Sindhudurg and Shimoga, with 30.4 acres and 29.9 acres of land, Anand and Moradabad hold 22.8 acres and 21.6 acres respectively. 

Smaller parcels are located in Bikaner-II (80 acres), Lalitpur (6.63 acres), Bhubaneswar Grace (2.76 acres), and Berhampur (2.4 acres).  

The ED initiated its probe following three FIRs filed under IPC sections 420 and 120B against Humara India Credit Co-operative Society Ltd. (HICCSL) and other entities in Odisha, Bihar, and Rajasthan. Over 500 FIRs have reportedly been filed against various Sahara entities,with over 300 relating to offences scheduled under the PMLA.  

An official ED statement said the Sahara Group was allegedly operating a Ponzi scheme through various entities, including HICCSL, Sahara Credit Cooperative Society Ltd (SCCSL), Saharayn Universal Multipurpose Cooperative Society (SUMCS), Stars Multipurpose Cooperative Society Limited (SMCSL), Sahara India Commercial Corporation Ltd (SICCL), Sahara India Real Estate Corporation Ltd (SIRECL), Sahara Housing Investment Corporation Ltd (SHICL) and other Sahara group entities. 

The ED  investigation has uncovered a systematic scheme by the Sahara Group to deceive lakhs of depositors and agents. Promising high returns and generous commissions, the group allegedly raised massive funds through unregulated channels without offering any control or transparency to the depositors.Instead of repaying maturity amounts, Sahara is accused of coercing depositors into reinvesting their money by shuffling funds between various schemes and entities. To conceal this, the group allegedly manipulated its financial records, falsely showing repayments while categorizing reinvested amounts as fresh deposits under new schemes.

Investigation revealed that Sahara continued to seek fresh investments despite defaulting on existing liabilities, effectively running a Ponzi scheme. A part of the collected funds was reportedly siphoned off to purchase benami assets, finance personal expenditures, and sustain a luxurious lifestyle.

Further, the probe revealed that Sahara sold several of its assets, with some payments received in unaccounted cash further depriving depositors of their rightful returns. The ED’s findings point to a large-scale financial fraud, causing significant losses to ordinary investors.

During the probe, the agency recorded statements of depositors, agents, and employees under Section 50 of the PMLA and conducted searches under Section 17, seizing ₹2.98 crore in cash. 

This is the second major attachment in the case, following the previous attachment of 707 acres of land in Aamby Valley, valued at Rs 1,460 crore.