Manoj Gaur Arrested in ₹12,000-Crore Jaypee Infratech Money Laundering and Homebuyer Fraud Case
The Enforcement Directorate (ED) has arrested Manoj Gaur, Managing Director of Jaypee Infratech Ltd. (JIL), in connection with an alleged ₹12,000-crore money laundering and homebuyer fraud case that has shaken the NCR real estate sector. The arrest follows long-standing allegations that funds collected from thousands of homebuyers for Jaypee Wish Town and Jaypee Greens projects were diverted to other Jaypee Group ventures instead of being used for construction.
Investigators said the ED had earlier conducted raids across 15 locations linked to JIL, Jaiprakash Associates Ltd. (JAL), and associated entities in Delhi, Noida, Ghaziabad, and Mumbai, seizing over ₹1.7 crore in cash, key financial documents, and digital data. The probe is built on multiple FIRs filed by Economic Offences Wings in 2017 after large-scale protests by homebuyers who never received their flats. Officials allege that advances, loans, and IPO funds meant for housing projects were systematically siphoned off through layered corporate structures.
The ED’s action, based on charges under the IPC and the Prevention of Money Laundering Act (PMLA), adds renewed pressure on the Jaypee Group, already facing insolvency proceedings and recovery demands from banks and homebuyers. The scandal, one of India’s largest real estate crises, left thousands of families stranded and sparked national outrage over fund diversion and stalled housing projects. Industry experts say the arrest marks a significant step toward accountability in India’s troubled realty sector.
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