ED Raids AAP MLA Kulwant Singh’s Properties in Rs 48,000 Crore PACL Money Laundering Probe
The Enforcement Directorate (ED) conducted a search operation on Tuesday at the Mohali residence of Aam Aadmi Party (AAP) MLA Kulwant Singh, who is also the owner of Janta Land Promoters Limited (JLPL).
The operation is part of a wider investigation into a ₹48,000 crore money laundering case connected to Pearl Agro Corporation Limited (PACL).
Over 15 Locations Searched Across Multiple States
Alongside the search at Singh’s residence, ED officials carried out simultaneous raids at more than 15 locations across Punjab, Haryana, Rajasthan, and Delhi.
The investigation focuses on the massive PACL investor fraud, in which directors of the company allegedly diverted funds collected from investors through shell companies.
Teams from the ED’s Delhi unit, supported by the Punjab Police, initiated the searches early Tuesday.
Kulwant Singh, reportedly the wealthiest legislator in Punjab, was not at home during the raid. However, his family members were present and were questioned by ED officials.
PACL Scam Involves Large-Scale Fund Diversion
The PACL case revolves around a massive Ponzi-like scheme in which funds were collected from investors under the pretense of real estate investments.
According to sources, the collected money was laundered through shell companies at various locations. These funds were then withdrawn in cash and handed over to PACL associates before being routed abroad through hawala channels for purchasing properties.
An FIR has been filed against the associates of the late Nirmal Singh Bhangoo for illegally selling properties linked to PACL and its associated entities.
Singh’s Links to Past Investigations
Last year, Kulwant Singh was questioned by the ED’s Jalandhar office in another money laundering case connected to alleged drug trafficking.
Singh has a substantial business background and is reported to have assets worth approximately ₹1,000 crore.
His political journey began in 2015 when he became the first mayor of the Mohali Municipal Corporation with Congress’s backing.
In 2017, he joined the Shiromani Akali Dal but was expelled in 2021 for “anti-party activities” following an unsuccessful attempt to contest the municipal elections as an independent.
Later that year, Singh joined the Aam Aadmi Party and successfully contested the 2022 assembly elections from Mohali, becoming an MLA.
ED Focuses on Money Trail and Property Disposal
According to sources close to the investigation, the ongoing ED probe aims to trace the flow of funds laundered by PACL and to identify properties that were acquired illegally using the defrauded money.
The search at Singh’s residence in the JLPL area of Mohali is linked to his real estate ventures, which the agency suspects may have received laundered funds.
The ED’s investigation further suggests that PACL’s directors laundered investors’ money to buy properties outside India by using hawala routes.
The agency is probing these transfers and the roles of various individuals and entities involved in the process.
Wider Raids and Ongoing Legal Action
The searches carried out on Tuesday were part of a broader effort to crack down on those allegedly involved in the laundering of ₹48,000 crore worth of investor funds.
ED teams conducted raids in multiple states, including Punjab, Haryana, Delhi, and Rajasthan.
This is not the first time associates of PACL have come under scrutiny. The ED has already taken action against several individuals and entities in connection with the scam.
The registration of the FIR against Bhangoo’s associates adds another dimension to the case, focusing on the unauthorized disposal of PACL’s assets.
Political and Legal Implications
Kulwant Singh’s involvement in multiple ED probes, especially during his tenure as an MLA, has drawn political attention.
With a significant business empire and political influence, Singh’s case could have larger ramifications, especially with the ED expanding its investigation into real estate and political connections related to the PACL scam.
The Enforcement Directorate is expected to continue its investigation in the coming weeks, as it builds its case based on financial records, property transactions, and statements from individuals linked to the alleged laundering network.
