ED Clamps Down on Jaypee Group: Assets Worth Rs 400 Crore Seized

The Enforcement Directorate seized assets worth Rs 400 crore associated with former Jaypee Infratech MD Manoj Gaur and Honeyy Katiyal's company. The case relates to fund misappropriation impacting over 25,000 homebuyers from Jaypee projects. Investigations highlight a web of financial diversions orchestrated by Gaur and linked entities.

The Enforcement Directorate has seized assets valued at Rs 400 crore, connected to former Jaypee Infratech Managing Director Manoj Gaur and Honeyy Katiyal's real-estate firm. This move comes as part of investigations under the Prevention of Money Laundering Act related to fraudulent practices by the Jaypee Group's real estate entities.

Gaur, currently in judicial custody following a November arrest, is alleged to have orchestrated a scheme to divert substantial funds collected from homebuyers for the Jaypee Wishtown and Jaypee Greens projects in Noida. The frodulent activities have affected over 25,000 investors, leading to complaints and subsequent investigations triggered by FIRs from Delhi and Uttar Pradesh Police.

The Jaypee group siphoned off amounts from collected funds into entities such as Jaiprakash Sewa Sansthan and Jaypee Sports International Ltd. Meanwhile, in the fallout, business giants Adani Enterprises and Suraksha Group have stepped in via insolvency processes to acquire Jaiprakash Associates Ltd and Jaypee Infratech Ltd, respectively.