The Punjab and Haryana high court (HC) has dismissed the bail plea of Sunny Enclave developer Jarnail Singh Bajwa in a money laundering case.
“The allegations contained in the enforcement case information report (ECIR), prima facie shows that the petitioner was involved in the process and activities connected with the proceeds of crime,” the bench of justice Manisha Batra observed.
The Bajwa Developers managing director is facing allegations of cheating and fraud at different places and has at least 45 criminal cases pending against him from investors.
According to the court order, beginning 2017, a series of FIRs were registered against him on the allegations of cheating homebuyers and allottees of plots, flats and commercial units floated by Bajwa Developers under projects such as “Sunny Enclave”, Sector 123-125, Kharar. The money laundering probe started in March 2022.
Appearing for the ED, additional solicitor general Satya Pal Jain said the agency’s raids at the properties of Bajwa had led to the identification and freezing of several bank accounts of the petitioner, his family members and related entities and firms, reflecting a cumulative frozen balance of approximately ₹3 crore, ₹42 lakh cash and several vehicles, including a Range Rover, a BMW XS, a Land Cruiser, an Isuzu D-Max, a Porsche and a Ford Endeavour, registered in the name of Bajwa Developers, with a cumulative valuation of ₹1 crore.
The court was further told that the developer collected ₹662 crore advance from homebuyers and allottees on the false assurance of clear title and timely possession, but diverted the funds towards purchasing land parcels and luxury cars, advancing unsecured loans, repaying unsecured loans of family firms and other irrelevant purposes.
The court observed that the conditions prescribed under Section 45 (cognisable, non-bailable offence) of the Prevention of Money Laundering Act are mandatory to provide a bail. The court is required to be satisfied that there are reasonable grounds for believing that the accused is not guilty of the offence alleged and that he is not likely to commit any offence while on bail. “At this stage, no such reasonable grounds are discernible from the material placed on record,” it said dismissing the plea.