Key Points:
ED has summoned senior Punjab government officials over alleged forged farmers’ consent letters linked to Suntec City and Altus Space Builders projects.
The two projects allegedly generated ₹150–348 crore, while Suntec City promoter Ajay Sehgal has been arrested under the PMLA following ED raids in May 2026.
A separate ₹40-crore waiver to Remigate is also under probe, with the ED examining conflicting reports from the authorities.
MULTIPLE IRREGULARITIES related to Greater Mohali Area Development Authority (GMADA) have come under scrutiny. The Enforcement Directorate (ED) has summoned senior government officials seeking their explanation in the alleged forged documents and waiver scams related to realty projects in Punjab. The project related to Suntec City and Altus Space Builders is the bigger of the two projects under ED’s scanner, alleging irregularities in Change of Land Use (CLU) permissions.
The probe follows a police complaint against the two real estate companies, alleging that they forged farmers’ consent letters to obtain CLU permissions for converting agricultural land into residential and commercial projects. The ED claims that the project’s generated estimated revenue is between ₹150 crore and ₹348 crore. Earlier, the agency had raided multiple locations related to the projects in May 2026. Ajay Sehgal, a promoter related to Suntec City has also been arrested under the Prevention of Money Laundering Act (PMLA). The ED is also verifying that license conditions set by GMADA were followed, including the transfer of plots reserved for economically weaker sections.
The investigating agency had summoned former Punjab Chief Secretary Anurag Verma in relation to the money laundering case. According to reports, he is currently serving as Additional Chief Secretary (Revenue) and was asked to appear before the ED on August 31, 2026. However, Verma has sought adjournment, seeking more time to appear. The ED is expected to issue a new date for his summon.
According to The Times of India, the officials are examining decisions taken during the period when Verma was heading the Housing and Urban Development Department. These decisions include the grant of Change of Land Use (CLU) permissions, modifications to approved project layouts, and the application of certain provisions of the Punjab Regional and Town Planning and Development Act.
According to the investigation, group housing sites in the Muirwood Ecocity project were transferred to Dhir Constructions after a request to transfer the same sites before GMADA was rejected. It is further looking into the policy changes introduced in 2022, when Aman Arora was the minister for Housing and Urban Development. IAS Officer Kanwal Preet Brar has already appeared before the ED on two occasions in August 2026 and has been asked to provide additional records.
In a separate case, the ED is investigating another case putting GMADA’s decision under scanner. The authority’s ruling of granting a waiver of approximately ₹40 crore in non-construction charges and to the firm Remigate while providing “unsatisfactory” reasons for the same. According to The Tribune, in September 2015, the firm had been allotted a 1.13-acre plot in Sector 62, Mohali through GMADA auction for the development of a food court. The reserve price at the time was ₹32.50 crore, out of which Remigate paid 20% of the amount with its first instalment of ₹9.87 crore.
In 2025, the Mohali Development Authority approved the waiver of the rest of the dues, with interest, amounting to ₹40 crore. The decision was taken during a meeting of the authority headed by then Chief Secretary KAP Sinha. According to the ED’s probe former Chief Administrator Kavita Singh had earlier rejected the relief after the GMADA engineering wing reported that the site was viable for development in 2017. For the following three years, similar requests were turned down on the same grounds after it finally got approved last year.
The discrepancy between two GMADA reports is a major part of the investigation. While one report states that the site was suitable for construction, the other one said that it had pending encumbrances. It was the latter report that was used to justify the waiver.
Chief Engineer Ajay Garg and former Chief Engineer Sunil Kansasl have recorded their statements with the ED as the agency seeks the complete record of the purchased plot from the time of the 2015 auction. The agency is expected to summon more officials, particularly those who recommended the waiver on the basis of the 2025 engineering report.
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