Mumbai | February 13, 2026: The Enforcement Directorate (ED) on Thursday formally arrested Rajendra Lodha, a former director of Lodha Developers Limited, in connection with an alleged ₹85-crore money-laundering case linked to suspected fraudulent land and financial transactions.
A Special Court on Friday granted the ED custody of Lodha for further investigation after he was produced by the agency on a production remand. He is expected to be presented again for remand proceedings as the probe proceeds.
Who Is Rajendra Lodha?
Rajendra Lodha joined Lodha Developers Ltd. as a director in 2015 and was assigned responsibilities mainly related to land acquisition for the company. Over the years, he rose within the organisation and was entrusted with significant authority over certain land deals.
Lodha resigned from the company in August 2025 following an internal ethics review that flagged irregularities in his conduct. At that time, the company also clarified that he was a distant relative of its Managing Director and CEO.
Allegations Against Lodha
According to the ED, Lodha allegedly overstepped his delegated authority and engaged in a complex web of unauthorised transactions that caused substantial loss to the company. Investigators allege he colluded with his son, Sahil Lodha, and several close associates to generate, conceal and launder proceeds of crime.
The agency’s charges include:
- Diversion and siphoning of company funds through benami and proxy entities.
- Unauthorised sale and undervalued transfer of company land and Transferable Development Rights (TDRs).
- Use of forged Memorandums of Understanding (MoUs) and bogus possession holders to disguise illegal deals.
- Withdrawal of company funds in cash and misappropriation for personal benefit.
Investigators say the total wrongful loss to Lodha Developers Ltd. exceeds ₹85 crore as a result of these alleged acts.
Key Cases Under Scrutiny
Among the transactions cited by the ED:
- A parcel of company land in Panvel was allegedly sold to a front-entity for just ₹48 lakh despite a market value of close to ₹10 crore, causing a direct loss of around ₹9.5 crore.
- Other deals involved purchasing land through proxy firms and reselling back to the company at inflated prices to launder proceeds of crime.
- Investigators have also uncovered evidence of fraudulent resales of land originally recorded in the name of a company employee after his death, which was later transferred to Lodha’s associates and resold to the company at a profit.
Origin of the Probe
The ED’s money-laundering case is based on FIRs registered by Mumbai Police under provisions of the Bharatiya Nyaya Sanhita for alleged cheating, abuse of position, forgery and unauthorised sale of assets. The Mumbai Police Crime Branch initially arrested Lodha in September 2025, and he was in judicial custody before the ED took formal action on the PMLA case.
In November 2025, the ED conducted searches at multiple locations across Mumbai and Thane, seizing assets including cash, bank balances and fixed deposits worth nearly ₹59 crore along with incriminating documents as part of the ongoing probe.
What Happens Next
Following his arrest under the PMLA, Lodha has been remanded to ED custody to assist in further questioning, asset tracing and investigation into the wider network of alleged accomplices and beneficiaries. The probe continues as authorities examine additional evidence and financial trails.
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