The Jaipur zonal office of the Enforcement Directorate (ED) has restituted flats, commercial units and land plots in Udaipur, with a present market value of ₹175 crore, to 213 innocent homebuyers who were caught up in a ₹1,267.79 crore fraud case, involving a leading bank, and did not get possession of their dwelling units.
The inventory comprises 354 flats, 17 commercial units and two plots at Project Royal Rajvilas in Udaipur. The case pertains to the Syndicate Bank fraud, involving Bharat Bomb and others, who defrauded the bank to the tune of ₹1267.79 crore through discounting of forged cheques and forged inland bills and drawing loans against forged insurance policies from 2011 to 2016.
An ED spokesperson said in Jaipur on Tuesday (October 14, 2025) that the agency had attached total properties worth ₹535 crore after launching investigation in 2016 on the basis of three FIRs and one chargesheet filed by the Central Bureau of Investigation. There were multiple litigations across the forums against the attachment.
After the homebuyers filed a petition under Section 7 of the Insolvency and Bankruptcy Code, 2016, the National Company Law Tribunal (NCLT), Mumbai, admitted the corporate debtor, Udaipur World Entertainment Private Limited, into the corporate insolvency resolution process. In 2022, the NCLT approved the company’s resolution plan and vacated the ED’s attachment order.
Later, the Rajasthan High Court stayed the operation of the NCLT’s order in 2023 on the ground that it had no jurisdiction to set aside the order passed by the Adjudicating Authority under the Prevention of Money Laundering Act, 2002.
The matter was taken to the Supreme Court, which directed both the parties to arrive at a consensus so as to protect the interest of the bona fide homebuyers, who had invested their money in the project and could not get possession of their units. The spokesperson said the ED took “proactive approach” in the interest of homebuyers suffering amid the prolonged litigation.
The Supreme Court has lauded the efforts of ED in restoring the attached properties and securing the interests of genuine and innocent homebuyers. The apex court placed on record its appreciation in an order passed on October 10. The ED has adopted procedures to identify rightful claimants, verify their claims, and expedite restitution without compromising legal scrutiny.
Published – October 15, 2025 06:30 am IST
