ED Raids Uncover Massive Fraud in Coop Housing Society

The Enforcement Directorate conducted raids in connection with a Rs 90.5-crore fraud linked to the Shanti Niketan Co-operative Group Housing Society Ltd. Assets worth Rs 6.63 crore were seized and multiple bank accounts were frozen. The investigation involves misappropriation of funds and illegal membership sales.

The Enforcement Directorate (ED) has launched a series of raids at the homes and business places associated with ROF Group chairman Mangal Sain Mittal and his partners, marking a significant step in probing a suspected Rs 90.5-crore fraud linked to the Shanti Niketan Co-operative Group Housing Society Ltd (CGHS).

During the raids conducted on July 9, authorities confiscated digital devices, incriminating documents, property papers, audited financial statements, and accounting records. Assets worth approximately Rs 6.63 crore were also seized, including Rs 55 lakh in cash, gold bullion valued at Rs 1.85 crore, gold jewellery worth Rs 1.95 crore, and around 100 kg of silver valued at Rs 2.28 crore. In addition, several bank accounts tied to the suspects have been frozen.

Executed across Delhi, Faridabad, and Gurgaon under the Prevention of Money Laundering Act (PMLA), the operation stemmed from a First Information Report (FIR) filed at Sushant Lok police station. The report accused Mittal, Anil Sharma, and Arun Sharma of defrauding cooperative housing society members by illicitly taking over the society, misappropriating funds, introducing forged members, and neglecting the housing project after collecting substantial sums from prospective homebuyers.