New Delhi, Aug 12 (PTI) Fresh searches have been conducted in multiple states as part of a money laundering investigation against the Sahara Group, the Enforcement Directorate (ED) said on Tuesday.

A total of nine premises located in Ghaziabad and Lucknow in Uttar Pradesh, Sriganganagar in Rajasthan and Mumbai were raided on Monday under the provisions of Prevention of Money Laundering Act (PMLA).

"Entities searched were related to various land and share transactions with entities of Sahara Group," the federal probe agency said in a statement.

It added that "incriminating" documents and records were seized and statements of key persons were recorded during the searches.

The money laundering case stems from three police FIRs registered against Humara India Credit Cooperative Society Ltd. (HICCSL) and others in Odisha, Bihar and Rajasthan.

Over 500 FIRs have been registered against various Sahara Group entities, with more than 300 involving scheduled offences under the PMLA, alleging large-scale "cheating" of depositors through "forced re-deposits" and "denial" of maturity payments, according to the ED.

The agency alleged that the Sahara Group was operating a "Ponzi scheme" through HICCSL and multiple other entities by "luring" depositors and agents with promises of high returns and commissions.

The funds were managed in an "unregulated" manner without depositor oversight, maturity proceeds were not re-paid instead re-invested under coercion or misrepresentation, and books were "manipulated " to camouflage such non-repayments, it said.

"Despite financial incapacity, the group continued to collect fresh deposits, part of which was siphoned off for dubious share transactions, creation of benami assets and personal expenses etc.

"Assets of the group were also sold for partial cash payments, further denying rightful claims of depositors," as per the agency's findings.

The ED has attached three assets in this case till now--707 acres of land in Amby Valley bearing market value of Rs 1,460 crore, 1,023 acres land in Sahara Prime City worth Rs 1,538 crore and movable assets worth Rs 14.75 crore of Late Sahara Group chief Subrata Roy Sahara's daughter-in-law Chandni Roy (wife of Seemanto Roy).

Subrata Roy Sahara died at the age of 75 in 2023.

The ED has arrested two persons-- Vailaparampil Abraham, an executive director of Sahara Group's chairman core management team and Jitendra Prasad Verma, a long-time associate of the Sahara group cum property broker-- as part of this investigation.

They are currently lodged in jail under judicial custody. PTI NES ZMN

Money laundering probe under PMLA targets alleged Ponzi operations; searches, seizures, asset attachments and arrests followed. Searches under the Prevention of Money Laundering Act were carried out at nine premises linked to Sahara Group entities; incriminating documents were seized and statements recorded. The investigation, based on multiple FIRs against HICCSL and others, alleges a Ponzi scheme through unregulated deposit mobilisation, coerced re investment of maturity proceeds, book manipulation, creation of benami assets and diversion of funds into land and share transactions. The ED has provisionally attached immovable and movable assets and arrested two individuals, who remain in judicial custody as the PMLA probe continues.