Ex-VVCMC commissioner used bribe to buy expensive sarees, invest in wife's residential project: ED

New Delhi, Oct 14 (PTI) The ED on Tuesday alleged that IAS officer Anil Pawar generated Rs 169 crore worth "proceeds of crime" from bribes and utilised this amount to purchase gold, diamond and "expensive" sarees apart from investing in a residential project in the name of his wife.

Pawar, a former Vasai Virar City Municipal Corporation (VVCMC) Commisioner, was arrested by the Enforcement Directorate (ED) in July, along with three others, as part of a money laundering investigation into allegations of illegally constructing residential and commercial buildings on government and private land under the jurisdiction of VVCMC, near Mumbai, since 2009.

All four accused are currently lodged in jail under judicial custody.

A chargesheet has been filed by the federal probe agency against them before a special Prevention of Money Laundering Act (PMLA) court in Mumbai and the court has not taken cognisance till now, the agency said in a statement.

The ED alleged Pawar "organised a cartel to extract bribe for giving protection to already constructed illegal building and turned a blind eye to the ongoing unauthorised constructions." "This cartel is responsible for large-scale illegal construction in the jurisdiction of VVCMC," it claimed.

The probe found, the ED said, that a "fixed" commission rate of Rs 150 per square foot was imposed on illegal construction projects, of which Rs 50 per square foot of built-up area was "directly received" by Pawar as his share.

It claimed that after Pawar took charge as the commissioner of VVCMC, he "fixed the commission amount/bribe at the rate of Rs 20-25 per sq ft and Rs 62 per sq ft to give various types of development approvals in Urban Zone and Green Zone respectively." "ED investigation revealed that through these modus, Anil Pawar earned proceeds of crime (POC) to the tune of Rs 169 crore," it said.

The ED alleged Pawar created a number of entities in the name of his family members, relatives and benamidars (a person in whose name a benami asset is being held) to "launder the bribe amount collected".

"The POC so earned has been utilised by Pawar in purchasing gold, diamond and pearl jewellery and expensive sarees, investing in warehouses, purchasing farmhouses and for investing in residential project floated in the name of (his) wife amongst others," it said.

Most of the alleged proceeds of crime, it said, have been infused in immovable properties by Pawar in the name of his wife, daughters and other relatives.

The money laundering case stems from an FIR filed by the Mira Bhayandar Police Commissionerate.

The police complaint came after the Bombay High Court, in July 2024, ordered the demolition of 41 illegal buildings that were constructed on a land reserved for a sewage treatment plant and dumping ground as per the approved development plan of Vasai Virar City.

The buildings were demolished by the VVCMC on February 20 this year. The ED alleged Pawar "took bribe" to give protection to these 41 illegal unauthorised buildings.

The agency said it has issued a provisional order under the PMLA to attach assets worth Rs 71 crore. Out of this, Pawar's assets are valued at Rs 44 crore while the rest of the assets belong to a person named Sitaram Gupta and some others. PTI NES SKY SKY