ED Seizes 169 Properties in PACL Investment Fraud Probe

ED Attaches 169 Properties Worth ₹3,436 Crore in PACL Investment Fraud Case

Nearly a decade after one of India’s largest alleged investment frauds first came under regulatory scrutiny, the Enforcement Directorate has moved to secure hundreds of properties linked to PACL Ltd., underlining both the vast scale of the case and the long, asset-driven process of financial crime enforcement.

The agency has provisionally attached 169 immovable properties, currently valued at approximately ₹3,436.56 crore, as part of its ongoing money-laundering investigation into PACL and associated entities. According to the ED, the assets were acquired using funds collected from lakhs of investors across the country and remain registered in the company’s name.

Investigators say the properties form part of a far wider asset network created during years when PACL allegedly mobilised public money through what authorities have described as fraudulent collective investment schemes. The attachment, carried out under the Prevention of Money Laundering Act, represents one of the more significant tranches of property secured in the prolonged case.

Most of the newly attached properties are located in Ludhiana, Punjab, adding to an inventory that now spans multiple states. Officials familiar with the probe say the geographic spread reflects how investor funds were systematically channelled into land and other assets over time.

At the core of the case is the allegation that PACL and its group companies misappropriated nearly ₹48,000 crore from investors. The ED’s investigation is based on a First Information Report initially registered by the Central Bureau of Investigation against PACL Ltd., PGF Ltd. and their group chief, Nirmal Singh Bhangoo, among others.

Bhangoo, once a prominent figure in land-linked investment products, died in August 2024. Authorities allege that under his leadership, PACL floated schemes promising land or land-based returns, but structured them in ways that violated regulatory norms and misled depositors. Over time, investigators claim, funds were diverted into large-scale land acquisitions rather than being deployed as represented to investors.

With the latest attachment, the ED says it has now secured movable and immovable assets worth around ₹5,602 crore in the PACL case. These include properties and financial assets located both within India and overseas, pointing to what the agency describes as deliberate layering and parking of funds to distance them from their original source.

The agency has filed one main prosecution complaint and two supplementary complaints before the special PMLA court, detailing the alleged money trail and the roles of various entities and individuals associated with the PACL group.

Officials involved in the case say the emphasis has gradually shifted from establishing wrongdoing - already addressed through multiple regulatory and criminal proceedings - to identifying, attaching and eventually monetising assets that could be used to refund investors. Each new attachment adds to the recovery pool, but also increases the complexity of liquidation, particularly where land holdings are involved.

The PACL case has become emblematic of the challenges facing India’s financial enforcement system. The sheer number of affected investors, the dispersion of assets across jurisdictions and the long timelines required for legal resolution have all slowed restitution.

Experts note that cases of this magnitude repeatedly expose how weak financial oversight allows large-scale schemes to grow unchecked. Strong independent auditing services in India and disciplined transaction records similar to professional bookkeeping services in India are often critical in detecting such irregularities earlier, before investor funds are irreversibly locked into sprawling asset portfolios.