Foreign nationals cheated in Goa; ED attaches 56 flats, 16 villas

The Enforcement Directorate (ED) has attached 56 flats and 16 villas at Peace Valley, a residential project in Deumol, Goa, along with bank accounts linked to two local businessmen accused of cheating foreign nationals in a realty scam. Assets of Ankit Kumar and Sunil Kumar worth a total of ₹7.73 crore were seized under the Prevention of Money Laundering Act (PMLA) in the case.

The attached assets are held in the names of M/s Sanatan Financers and Real Estates Pvt Ltd, Goa. “The accused persons illegally collected funds from these foreign nationals in the guise of selling properties in the Peace Valley project,” read an ED statement issued on Saturday.

ED initiated the investigation under provisions of PMLA based on the first information report (FIRs) registered by Goa Police on the complaints filed by at least 50 scammed foreign nationals.

“During the course of the investigation, it was revealed that the accused had collected money from the foreign nationals through foreign direct investments (FDI) to the accounts of their various shell companies including M/s Sanatan Financers and Real Estates Pvt Ltd. The foreign nationals were convinced to invest in the companies formed by the accused towards the purchase of flats and villas,” the agency said. “However, the ownership of said flats/villas was never transferred to the foreign nationals. In this manner, from 2006 to 2011, the accused had received ₹7.73 crore by duping the foreign nationals and acquired 16 villas worth ₹2.56 crore and 56 flats worth ₹5.17 crore. These assets and balance in the [accused’s bank] accounts, being proceeds of crime, have been provisionally attached under PMLA,” the statement added.

As per Indian law, foreigners are not allowed to buy properties in the country and this violation attracts provisions of the Foreign Exchange Management Act (FEMA). Ankit was arrested in the case by ED in March and has been released on bail.