Enforcement Directorate files supplementary prosecution complaint in ₹48,000-crore PACL case

Enforcement Directorate files complaint against Harsatinder Pal Singh Hayer in PACL case involving ₹48,000 crore fraud scheme.

The Enforcement Directorate has filed a supplementary prosecution complaint against Harsatinder Pal Singh Hayer, son-in-law of the then Pearls Group chairman-cum-managing director Nirmal Singh Bhangoo, and others in the PACL case involving ₹48,000 crore.

The case is based on a First Information Report registered by the Central Bureau of Investigation against PACL India Limited, PGF Limited, Nirmal Singh Bhangoo (who passed away in August 2024), and others. A special Delhi court took cognisance of the complaint on June 9. Mr. Hayer was arrested by the ED in March and he is currently in judicial custody.

According to the agency, PACL, PGF Limited, Nirmal Singh Bhangoo and others were involved in operating fraudulent investment schemes to deceive investors. As alleged, the funds were diverted to entity such as MDB Housing Complex Private Limited, controlled by Mr. Hayer. Multiple immovable properties located at Mumbai, Punjab, and Haryana were bought during 2011-2014 by him using the funds collected from the investors by PACL.

“Despite the fact that these properties were purchased from the PoC [Proceedings of Crime], Harsatinder Pal Singh Hayer knowingly continued to possess, use, claim, and project these properties as untainted properties in his name,” alleged the ED, adding that Mr. Hayer “was also dissipating some of these properties”.

Mr. Hayer, a director in several associate companies of PACL, including Pearls Australasia Pty Ltd and Australasia Mirage I-Pty Ltd in Australia, allegedly played a key role in the illicit transfer and parking of funds amounting to ₹657.18 crore abroad. The money was used to buy immovable properties in Australia.

“The details of these attached properties have been submitted to the Justice Lodha Committee, appointed by the Supreme Court, for asset disposal and restitution to affected investors,” the agency said, adding that it had earlier filed two prosecution complaints in the case.