Supertech Chairman Mr. R K Arora was arrested by the Enforcement Directorate on Tuesday (27/06/2023) evening on money laundering charges. Criminal sections of the Prevention of Money Laundering Act (PMLA) have been levied against Arora. It was only after the third round of interrogation the agency took remand of him.
Image source: News Source.
He is said to be produced before a special PMLA court Wednesday and the agency shall ask for his custody for further interrogation.
Laundering of Funds.
The Federal Agency in April 2024, had already attached 25 properties of the Supertech Group, amounting to 40 crores, including a mall in Meerut and others in Uttarakhand and Rudrapur. The Group is undergoing scrutiny for alleged laundering of Rs.1, 500 crore on the pretext of loans. The agency had claimed that the group failed to pay the said loan amount to the banks and presently the entire amount of Rs. 1,500 crores have turned into Non-Performing Assets (NPA).
Not only this, the Supertech group is battling several other cases registered by the Haryana, UP, and Delhi Police on allegations that the Directors and the company indulged in a criminal conspiracy to defraud people by acquiring funds from the prospective buyers as advances against booked flats.
However, the Group failed to meet the deadline of handing over the possession of the said flats on time. As per the officials, the funds collected by the Group were misappropriated and rerouted to buy lands in the name of other group companies. The other companies were further pledged as collateral to take loans from banks and financial institutions.
Image source: News Source.
Apart from the above, the group also faces other multiple charges, one of them being the alleged illegal construction of the famous twin towers of Noida. The same was brought down to ashes, last year by using over 3, 000 kg of explosives following an order of a court.
Arora is also the Chairman of the National Real Estate Development Council (NAREDCO), an organization of the builders.
