August 21, 2025: The Enforcement Directorate (ED) told a special court on Wednesday that two officials of the Vasai Virar City Municipal Corporation (VVCMC), including its former commissioner, had granted commencement certificates in urban and green zone areas for a total built-up area of approximately 550 lakh square feet — equivalent to over 55,000 flats of 1,000 square feet each.
On 13 August, the ED arrested former commissioner Anil Pawar, Y S Reddy, the suspended deputy director of town planning, and two others — Sitaram Gupta, a former corporator of the Bahujan Vikas Aghadi party and construction businessman, and his nephew Arun Gupta. They were produced before the special court and, as the ED did not seek further custody, were sent to judicial custody until September 3.
The arrests are part of an investigation into the alleged illegal construction of 41 residential and commercial buildings in Vasai-Virar, which the ED claims were facilitated through collusion between VVCMC officials and builders. The constructions reportedly spanned 60 acres, including 30 acres of government land designated for a dumping ground and a sewage treatment plant.
In its remand plea, the ED accused Pawar and Reddy of being “neck deep in corrupt practices” during their tenure. “Investigation has revealed that Pawar, in connivance with Reddy, granted commencement certificates for a total built-up area of over 5.5 crore square feet in urban and green zone areas, with bribes charged at fixed rates,” the ED alleged. The agency added that as commissioner, Pawar had oversight of all departments, including those responsible for preventing and demolishing unauthorised construction, yet allegedly ignored illegal activities in return for fixed payments.
The ED previously described the alleged cartel as comprising VVCMC officers, junior engineers, architects, chartered accountants, and liaisoners, who allegedly collected bribes per square foot using a codeword system. During ED custody from 14 to 20 August, the accused were extensively interrogated and confronted with digital evidence, including WhatsApp messages and documents, revealing details of benami investments and other leads.
Special public prosecutor Kavita Patil said the agency is still identifying additional suspects and beneficiaries of the proceeds of crime. The ED requested judicial custody, citing concerns that the accused could influence witnesses or dispose of assets. The accused denied the charges, with one claiming the case was politically motivated. They have been remanded to Arthur Road Jail.
Source: The Indian Express