WTC Real Estate Fraud: ED Attaches Assets Worth Rs2,348 Crore
Moneylife Digital Team 06 May 2025
The Gurugram zonal office of the directorate of enforcement (ED) has provisionally attached immovable properties worth Rs2,348 crore in connection with a large-scale real estate fraud involving WTC Faridabad Infrastructure Pvt Ltd and associated entities of the WTC group, headed by Ashish Bhalla. The action was taken under the provisions of the Prevention of Money Laundering Act (PMLA), 2002.
 
According to ED, the attached assets include approximately 159 acres of both licensed and unlicensed land, as well as unsold real estate inventory located across Delhi-National Capital Region (NCR), Gurugram, Faridabad and Noida. The seizure also comprises residential properties in Goa and commercial premises in the Delhi-NCR region.
 
The ED initiated its investigation following more than 30 first information reports (FIRs) registered by the Faridabad police, Delhi economic offences wing (EOW) and other agencies under various Sections of the Indian Penal Code (IPC), 1860, including charges of cheating, fraud and criminal conspiracy.
 
The FIRs claim that WTC Faridabad Infrastructure lured buyers into investing in a project at sector 111-114, Faridabad, promising residential plot allotments. However, the promoters allegedly orchestrated a criminal conspiracy, failing to complete the project and withholding plot deliveries for over a decade.
 
The investigation has revealed that the WTC group collected over Rs3,500 crore across 15 projects in the Delhi-NCR region. Despite this, very few project deliveries were made, indicating a Ponzi-like scheme designed to misappropriate funds. 
 
Findings from the investigation revealed that over 12,000 investors were defrauded by Mr Bhalla and his group companies. Through a carefully planned scheme under the WTC brand, he allegedly lured investors with the promise of assured returns on plots and commercial spaces. The group reportedly collected over Rs2,700 crore from investors across Haryana, Uttar Pradesh, Punjab and Chandigarh.
 
However, a major portion of the funds was allegedly siphoned off and not used for the development of real estate projects. According to ED, substantial amounts were also illegally transferred to overseas entities based in Singapore, which are reportedly beneficially owned by Mr Bhalla’s close family members.
 
On 27 February 2024, the ED conducted multiple search operations during which Mr Bhalla absconded and allegedly tried to influence key witnesses. He was arrested on 6 March 2025 to prevent interference with the investigation and tampering with evidence.
 
The attached properties have been identified as direct proceeds of crime. The investigation is ongoing.
 
Meanwhile, thousands of home-buyers and investors under the umbrella of the Worried Troubled Customer Association (WTCA) are calling for urgent government intervention in what is being described as one of India's largest real estate frauds, involving Mr Bhalla and WTC Noida Development Company Pvt Ltd. The scam, spanning four states—Uttar Pradesh, Haryana, Punjab, and Gujarat—and 17 projects, has left over 20,000 buyers stranded with incomplete developments and financial losses amounting to thousands of crores of rupees. (Read: ED Cracks Down on WTC Group and Bhutani Group, Finds Rs200 Crore Siphoned to Singapore)
 
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