ED Chargesheets 10 Over ₹43.73-Crore Redevelopment Fraud in Mumbai

MUMBAI — The Enforcement Directorate has filed a prosecution complaint against 10 individuals and entities before a special Prevention of Money Laundering Act court, accusing them of diverting ₹43.73 crore collected from buyers for redevelopment projects across Mumbai, including sites in DN Nagar, Andheri, Kandivali, and Goregaon.

The chargesheet, submitted on July 31, names promoters J Tanna and D Tanna, alongside V Tanna and seven associated business entities. Following the submission, the special court ordered the issuance of pre-cognisance notices to the accused.

According to the agency, the promoters diverted funds collected from flat and shop buyers for personal benefit instead of utilizing the money for the proposed redevelopment works. This diversion left multiple projects incomplete, resulting in severe financial losses for homebuyers, original tenants, and investors.

The federal money-laundering investigation was initiated in 2024 following multiple first information reports registered by the Mumbai police under the Indian Penal Code and the Maharashtra Ownership of Flats Act. Police have already submitted chargesheets in 14 of the 17 cases under investigation.

As part of the proceedings, the ED previously attached properties valued at ₹43.73 crore as alleged proceeds of crime. The attached assets include immovable properties located in Mumbai and Ahmednagar district, as well as an overseas property situated in the United Kingdom.