In a landmark move, the Enforcement Directorate (ED) has restored over 350 immovable properties, including residential flats, commercial units, and plots worth Rs 175 crore, to homebuyers in Udaipur, earning commendation from the Supreme Court for its proactive measures.
The restitution pertains to Udaipur Entertainment World Private Limited (UEWPL), a company previously embroiled in a massive bank fraud case. The move comes after UEWPL’s resolution under the Insolvency and Bankruptcy Code, effectively paving the way for homebuyers to finally take possession of long-delayed properties at the stalled Project Royal Rajvilas.
The restitution encompasses 354 unsold flats, 17 commercial units, and two plots at Project Royal Rajvilas, benefiting 213 homebuyers who have been awaiting possession for over a decade.
The National Company Law Tribunal (NCLT) had resolved UEWPL in 2022, favoring the homebuyers and lenders among the resolution applicants. Following the tribunal’s decision, the ED and UEWPL reached an amicable settlement, enabling the transfer of properties to rightful owners. This restitution is expected to expedite the completion and handover of the long-pending project.
The ED’s intervention traces back to a money laundering investigation launched in connection with three separate cases and a chargesheet filed by the Central Bureau of Investigation (CBI). The probe targeted Udaipur-based chartered accountant Bharat Bomb and nine others, including bank officials, for allegedly causing a financial loss of Rs 1,267.79 crore to a consortium of banks led by Syndicate Bank.
According to the agency, the accused operated a complex fraud from 2011 to 2016, employing tactics such as discounting forged cheques and inland bills, and obtaining loans against forged insurance policies.
The restitution order was issued under Section 8(8) of the Prevention of Money Laundering Act, 2002, which empowers authorities to restore properties to their lawful owners, highlighting the ED’s commitment to protecting citizens’ interests.
