The Enforcement Directorate (ED) has filed its final report, a prosecution complaint equivalent to a chargesheet, against Manoj Gaur, the former Managing Director of Jaypee Infratech, in a case involving a ₹14,599 crore fraud impacting numerous homebuyers. Gaur was arrested on November 13 of last year and is currently in judicial custody.
The chargesheet was presented before Principal District and Session Judge Anju Bajaj Chandna. The ED's investigation stems from multiple FIRs filed by homebuyers alleging criminal conspiracy, cheating, and criminal breach of trust against the company and its promoters. These homebuyers claim that funds meant for the construction of their homes were instead diverted, leaving projects incomplete and them defrauded. Nearly 20,000 homebuyers have been left in the lurch due to the non-delivery of their homes.
The ED alleges that Jaypee Infratech Ltd (JIL) and Jaiprakash Associates Ltd (JAL), collected ₹14,599 crore from more than 25,000 homebuyers, as per claims admitted by the National Company Law Tribunal (NCLT). However, substantial amounts were diverted for purposes other than construction and siphoned off to related group entities and trusts, including Jaypee Sewa Sansthan (JSS), Jaypee Healthcare Ltd. (JHL), and Jaypee Sports International Ltd. (JSIL).
In connection to the case, the ED has attached assets worth ₹400 crore belonging to a trust linked to Manoj Gaur, Jaiprakash Sewa Sansthan (JSS), and a company connected to Honeyy Katiyal, Page 3 Buildtech Private Limited. Honeyy Katiyal is the promoter of the housing brokerage firm Investors Clinic. The ED alleges that these entities received a portion of the diverted funds.
The ED's investigation has identified Manoj Gaur as playing a central role in the planning and execution of the fund diversion, which was carried out through a complex web of transactions within the Jaypee Group and its associated entities. The agency claims to have uncovered transactions in which Gaur was involved.
Previously, on May 23, 2025, the ED conducted search operations at 15 locations across Delhi, Noida, Ghaziabad, and Mumbai, including the offices of JIL and JAL. During these searches, the agency seized a large volume of financial and digital records, which they say, provided crucial evidence supporting the charges of money laundering and fund diversion against Gaur.
While Adani Enterprises has won a bid to acquire Jaiprakash Associates Ltd through an insolvency process, and the lenders of JAL have approved Adani Group's resolution plan with the National Company Law Tribunal (NCLT) nod pending, the legal proceedings against Manoj Gaur continue. Suraksha Group has acquired Jaypee Infratech Ltd through an insolvency process.
