Real Estate Firm Supertech's Chairman R K Arora Detained In Money-Laundering Case
R K Arora, the chairman, and owner of the real estate company Supertech, was detained by the Enforcement Directorate (ED) on Tuesday on suspicion of money laundering, according to government sources.
After a third round of interrogation at the local office of the federal agency, Arora was detained under the criminal provisions of the Prevention of Money Laundering Act (PMLA), they added.
On Wednesday, he is anticipated to appear before a special PMLA court in this location, when the ED would ask for his continued remand.
A number of FIRs were filed by the police departments in Delhi, Haryana, and Uttar Pradesh, and these FIRs are what led to the money-laundering case against the Supertech organisation, its directors, and its founders.
The real estate group’s and its directors’ assets worth more than 40 crore rupees had been attached by the ED in April.
The ED claimed in a statement in April that the company and its directors engaged in a “criminal conspiracy” to defraud people by collecting money from potential buyers as an advance against booked apartments in their real estate projects and failing to uphold the agreed-upon obligation of providing the apartments’ possession on time, leading the firm to be “defrauded” by the public, according to the FIRs.
The investigation by the agency established that Supertech Limited and its affiliated firms had obtained the monies from homebuyers. According to the ED, the company additionally obtained project-specific term loans from banks and financial organisations to fund the development of projects or apartments.
To buy land in the names of other group companies, which was then again pledged as collateral to borrow money from banks and financial organisations, these funds were “misappropriated and diverted,” it was noted.
According to the agency, the Supertech group has “defaulted” on its obligations to make payments to banks and other financial institutions, and as a result, around Rs 1,500 crore of these loans are currently non-performing assets (NPA).
