Nagpur, October 31, 2026 (Yes Punjab News)
The Enforcement Directorate (ED) has seized unaccounted cash worth ₹1.95 crore and frozen bank balances exceeding ₹40 lakh following searches at two locations linked to Nagpur-based builder Shashank Govind Prasad Pandey in an alleged property fraud and money laundering case.
The searches were conducted on October 26 under the Prevention of Money Laundering Act (PMLA) at premises linked to Pandey, proprietor of Prayag Developers & Builders. According to the ED, investigators also recovered documents, records and digital devices and identified several immovable properties worth crores of rupees suspected to have been acquired using proceeds of crime.
The investigation stems from FIRs registered at Ajni and Ranapratapnagar police stations in Nagpur under Sections 418 and 420 of the Indian Penal Code.
The ED alleges that Pandey carried out multiple fraudulent transactions, causing financial losses to property owners and homebuyers.
In one case, Pandey allegedly entered into a development agreement involving land owned by a senior citizen widow, promising her ₹1.75 crore and 14 residential flats. Although the flats had been earmarked for her through a declaration-cum-correction deed, the ED claims the document was cancelled without her knowledge or consent and the flats were subsequently sold to other buyers.
The agency said the sale proceeds of ₹8.93 crore were allegedly misappropriated, while another ₹45 lakh payable under the agreement was withheld. The complainant’s total alleged loss was estimated at ₹9.4 crore.
In a separate case involving Divya Prayag Apartment, the ED found that 22 flats had been mortgaged to Dewan Housing Finance Corporation Limited (DHFL) against a ₹22-crore project loan, of which ₹11 crore was disbursed.
Pandey allegedly sold the mortgaged flats without obtaining the lender’s No Objection Certificate or informing purchasers about the existing mortgage. The agency also alleged that a false affidavit was submitted to a bank in connection with a home loan.
The case reportedly involves outstanding dues of ₹12.84 crore, with proceedings initiated under the SARFAESI Act. The ED investigation is continuing.
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