Buyers paid Rs 260 crore for Gurgaon plots, waited 14 years as land remained undelivered: ED alleges plots were diverted, arrests Vatika promoters

Vatika promoters Anil Bhalla and Gautam Bhalla were arrested by the Enforcement Directorate in a case involving allegations that buyers paid about Rs 260 crore upfront for residential plots in the group’s Gurgaon projects but were not handed over substantial portions of the promised land, the agency said on Wednesday in a post on X.

The two were arrested on September 28 under the Prevention of Money Laundering Act and produced before a special PMLA court the following day. Gautam Bhalla was sent to ED custody for four days, till October 3, as the agency investigates alleged diversion of funds and transactions linked to Vatika India Next and Next-2, according to the ED.

The case stems from five FIRs filed by the Delhi Police Economic Offences Wing against Vatika Ltd, the Bhallas and others under sections 420, 406 and 120B of the IPC, relating to cheating, criminal breach of trust and criminal conspiracy, the agency said.


According to the ED, seven purchaser entities paid around Rs 260 crore between 2010 and 2012 for plots in Vatika India Next in sectors 84-85 and Vatika India Next-2 in Sector 88A. Plot-wise agreements were subsequently executed in 2014-15.

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The agency alleged that project layouts were later revised, resulting in plots originally allotted to buyers being renumbered or shifted. It also alleged that some of the land was subsequently allotted or sold to other buyers.

The alleged shortfall was particularly significant in Next-2, according to the ED. About 1.1 lakh sq yards acquired for Rs 90 crore remained completely undelivered even after about 14 years, it said.

In Vatika India Next, delivery was only partial, with plots valued at about Rs 140.7 crore allegedly still undelivered, the agency said.

The FIRs relate to transactions involving SEH Realtors, HA Realtors/AHP, Span India/Positive Buildwell, Span India/Span Holdings and Scaler Ventures.

In one Next-2 matter, the ED alleged that 131 agreements covering about 47,275 sq yards, along with another 10,667 sq yards, were executed but none of the plots was handed over.

In another case involving HA Realtors/AHP, 65,117 sq yards out of 88,835 sq yards were delivered between 2019 and 2023, leaving 23,718 sq yards pending, according to the agency.

ED traces alleged fund diversion

The agency is also examining a 2024 transaction involving Scaler Ventures. According to the ED, a buyback arrangement covered 165 plots, but 14 of the remaining 150 plots were allegedly sold to third parties for about Rs 13.6 crore without Scaler’s knowledge.

The ED has estimated the alleged proceeds of crime in the case at Rs 154.4 crore.

The agency is also examining how money collected from buyers moved through the group. It alleged that project land was held through 22 group companies that had no employees or independent business activity and were primarily used to hold land, provide corporate guarantees and raise finance.

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According to the ED, funds collected from buyers were transferred to other group and promoter-linked entities outside the projects.

“All major decisions were taken jointly by these two persons,” an ED official said, according to TOI. The official alleged that Anil Bhalla supervised key transaction decisions while Gautam Bhalla executed important agreements and controlled land-owning entities.

The arrests came after the ED searched seven premises linked to Vatika India in August. The agency said at the time that it had frozen or seized assets worth about Rs 33 crore.

The group had previously faced ED action in October 2024 over allegations involving non-payment of assured returns and non-handover of commercial units.