India's financial crimes agency, the Enforcement Directorate (ED), has arrested four senior directors of Earth Infrastructures Ltd in connection with a massive real estate fraud. The accused collected over Rs 2,000 crore from more than 19,000 homebuyers and investors by promising timely possession of flats and assured returns on investment. The projects were never completed, and the money was never returned.
Avdhesh Kumar Goel, Rajnish Mittal, Atul Gupta, and Vikas Gupta are all promoters and directors of Earth Infrastructures Ltd. They were arrested under the Prevention of Money Laundering Act (PMLA) and produced before a special PMLA court in Delhi, which granted the ED five days of custody for interrogation. The four men were arrested on June 1, 2026, under the Prevention of Money Laundering Act (PMLA). A special court in Delhi has remanded them to five days of ED custody for interrogation.
How the fraud worked
Earth Infrastructures launched multiple housing and commercial projects in Delhi-NCR. They marketed these aggressively, promising buyers that flats would be delivered on time and that investors would receive guaranteed returns.
"Book your flat today. Possession in three years. Assured returns on your investment."
The type of promise Earth Group made to thousands of buyers across its projects
Buyers, many of them salaried middle-class families, paid in full or in installments. The company collected Rs 2,004 crore in total. Instead of using the funds for construction, the ED alleges that around Rs 467 crore was moved through a web of related companies and individuals, effectively draining the money out of the projects.
Buildings were left half-built or never started. Thousands of families continued paying home loan EMIs every month for flats that existed only on paper. No possession was given. No refunds were made.
What the ED found during raids
In April 2026, the ED raided multiple premises linked to the Earth Group across Delhi-NCR and seized the following assets.
Rs 6.3 crore in cash. Jewellery worth approximately Rs 8.78 crore. Property documents for over 100 properties worth more than Rs 100 crore.
While thousands of buyers had no homes and no money, the accused had allegedly converted funds into physical assets including cash, gold, and real estate registered in the names of associates and linked entities.
How the case unfolded
Delhi Police's Economic Offences Wing (EOW) registered five separate FIRs against Earth Infrastructures, its directors, and related entities for cheating under the Indian Penal Code. The Serious Fraud Investigation Office (SFIO) then filed a criminal complaint under Section 447 of the Companies Act against the group's promoters and directors for corporate fraud. In April 2026, the ED raided premises across Delhi-NCR and seized cash, jewellery and property documents. On June 1, 2026, all four promoters were arrested under PMLA and remanded to five days of ED custody.
What happens next
The ED will interrogate all four accused to trace how the money moved, who handled it, and where the assets are now hidden. Further arrests and attachment of assets are likely as the probe widens. The 19,000-plus buyers who were defrauded may be able to file claims for recovery once assets are formally attached and liquidated by the court.
This case is part of a broader crackdown on real estate fraud across India. Similar arrests have taken place recently in cases involving the Ramprastha Group, Jaypee Infratech, and the WTC Group, all following a similar pattern of collecting funds from buyers, abandoning projects and siphoning off the money.
