After Minister Arora’s Arrest, ED Tightens Grip on GMADA; Seeks Post-2019 CLU Records

June 13, 2026

After the arrest of Punjab Cabinet Minister Sanjeev Arora, the Enforcement Directorate (ED) has stepped up its investigation into the money laundering case. Now the probe has reached the Greater Mohali Area Development Authority (GMADA). The ED has called for files, approval processes, and financial transaction records related to various real estate projects approved after 2019.

According to sources, the agency is trying to find out whether any rules were ignored during the project approval process and if there were any irregularities in government liabilities and fund usage. In this context, documents are being collected from several GMADA departments.

Now, read the 3 major points of the ED action: –

Chandigarh Royal City project at the center of investigation: ED has specifically asked for documents related to the Chandigarh Royal City real estate project located in Karala village, Derabassi. The investigative agency is examining every aspect of the project, from approvals to financial transactions.

Details of financial transactions included: The key documents demanded from GMADA include approvals related to change of land use (CLU), colony development licenses and approval files, remarks and clarifications from various departments, the complete record of External Development Charges (EDC), and details of financial transactions between the promoters and GMADA. Sources say the agency is investigating whether all payments and government dues related to the project were deposited according to the rules or not.

GAMADA questioning of officials continues: During the investigation, officials from GAMADA’s accounts wing and the Town and Country Planning department are also being called for document verification and questioning. According to sources, the ED suspects that some projects had laxity in the approval process and irregularities in fund utilization. For this reason, the agency is closely examining approvals and financial records.

Promoters Already Arrested

In this case, the ED had arrested Royal Estate Group promoters Praveen Kansal and Neeraj Kansal from Delhi on May 30. Both are currently in judicial custody. Earlier, ED teams had also conducted raids in Chandigarh, Mohali, Zirakpur, and other locations in Punjab, seizing numerous documents and electronic records.

Eyes on Minister’s Close Associates

After Sanjeev Arora’s arrest, investigation agencies have also started keeping a close watch on his alleged close associates, colleagues, and business contacts. According to sources, several ED teams are continuously collecting documents and examining financial transactions at various locations. The investigation agency is trying to find out whether any network was active to suppress government dues, transfer funds, or gain financial benefits.