ED Provisional Attachment of ₹29.11 Crore in Shine City Properties Case Highlights Massive Real Estate Fraud
(Judicial Quest News Network)
New Delhi 13, September 2024
The Directorate of Enforcement (ED) has provisionally attached assets worth ₹29.11 crore in the ongoing investigation against M/s Shine City Properties Ltd. The attached properties include a residential real estate project valued at ₹25.99 crore, commercial office space worth ₹2.10 crore, and agricultural land valued at ₹1.01 crore. These assets were acquired by Himanshu Kumar and his affiliates using funds collected from investors, which were subsequently laundered and diverted by the Shine City promoters.
Himanshu Kumar, who was arrested by the ED on July 23, 2024, is implicated in a broader scheme involving approximately 554 FIRs filed by Uttar Pradesh Police against Rasheed Naseem and the Shine City Group. The ED’s investigation uncovered a Ponzi scheme disguised as real estate investments, where funds collected from the public were manipulated and redirected to close associates, including Kumar.
The diverted funds were used by Kumar to purchase land, office spaces, and develop residential projects, leaving investors without the returns or properties they were promised. The ED’s probe has so far led to the attachment of assets worth approximately ₹189.39 crore, following searches at 18 locations across major cities including Lucknow, Varanasi, Allahabad, Mumbai, and Delhi. The investigation has also resulted in the arrest and custodial interrogation of eight individuals linked to the case.
The ED has filed four prosecution complaints (PCs) in this case, with the Hon’ble Special Court having taken cognizance of two of these complaints. The enforcement action underscores the scale of the financial misconduct and the ongoing efforts to address the complex web of money laundering and investor fraud.
