MUMBAI: The Enforcement Directorate (ED) on Monday questioned the former Vasai-Virar City Municipal Corporation (VVCMC) commissioner, Anil Pawar, for over nine hours in connection with its money laundering investigation into the construction of 41 illegal buildings in Vasai East, which were demolished as per court orders in February this year. The agency will continue questioning the Indian Administrative Services (IAS) officer on Tuesday as well, said ED sources.
According to the sources, Pawar was questioned from around 11.45am to 9 pm, during which time his statement was recorded under provisions of the Prevention of Money Laundering Act (PMLA). Investigators asked Pawar a range of questions about alleged irregularities in construction of the 41 illegal buildings on a 60-acre plot, of which 30 acres was reserved for a sewage treatment plant and a dumping ground as per the approved development plan. They also asked him about the lack of civic action against the illegal structures despite complaints. Pawar, however, denied any involvement in the case.
The ED’s probe is still at a “preliminary stage”, officers familiar with the investigation said.
“Pawar was questioned for the first time today, on a variety of issues. Details furnished by him will be scrutinised and verified for further action,” an officer told HT.
The ED’s investigation until now has revealed that an organised cartel comprising certain VVCMC officers, architects, chartered accountants and intermediaries was responsible for large-scale illegal construction within VVCMC limits after 2009.
The agency had, on Friday, accused Pawar of playing “a crucial role” in the cartel, based on seizures during searches conducted at 12 locations in Mumbai, Pune and Nashik, including the homes of Pawar and his relatives and associates, on July 29. The searches were based on revelations by several suspects and witnesses questioned earlier by the agency and chats found on their mobile phones.
Documents seized during the July 29 searches indicated Pawar had created a number of shell entities in the name of his family members, relatives and associates to launder collected bribe amounts, said ED sources.
“The formation of shell entities coincided with his posting as VVCMC commissioner. The entities are primarily engaged in construction and redevelopment of residential towers and warehouses,” an ED officer said.
A number of digital devices and incriminating documents including cheque deposit slips recovered during the searches are still being scrutinised, said sources.
The ED had registered an Enforcement Case Information Report in the matter based on multiple cases registered by the Mira-Bhayandar police against builders and their henchmen.
Despite knowing that the buildings were unauthorised and would eventually be demolished, the builders sold apartments to poor, gullible customers—mostly migrant workers and shopkeepers—by fabricating a range of approval documents, said the ED.
The Bombay high court, on July 8, 2024, ordered the demolition of the 41 buildings. A special leave petition in the Supreme Court filed by families residing there was dismissed and all the buildings were demolished on February 20 this year, leaving around 2,500 families homeless.