The Enforcement Directorate (ED), Gurugram Zonal Office, conducted search operations at six locations across Delhi and Gurugram on 20 November 2025 in connection with the alleged misuse of the Insolvency and Bankruptcy Code (IBC) to facilitate the undervalued sale of land parcels. The raids targeted intermediaries who were not part of the IBC process, along with a Resolution Professional, an NCLT-practising lawyer, and the buyer company M/s RDB Infrastructure and Power Ltd, promoted by Vinod Dugar.
The ED action stems from over 30 FIRs registered across Delhi-NCR against M/s Universal Buildwell Pvt. Ltd. and its promoters for failing to complete real-estate projects and defrauding homebuyers and investors.
The company subsequently entered the Corporate Insolvency Resolution Process (CIRP), following which an approved Resolution Plan mandated some assets to be transferred to homebuyers, while the remaining properties were to be liquidated as per the plan.
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Undervalued Sale of Land and Early Findings
During the probe, ED officials found that the proposed land sale was significantly undervalued compared to market rates, raising concerns that key stakeholders had abused the IBC/NCLT mechanism for private gain.
This led the agency to initiate searches under Section 17 of the Prevention of Money Laundering Act (PMLA), 2002. The operation resulted in the seizure of ₹50 lakh in unexplained cash from two intermediaries, including an NCLT lawyer suspected of facilitating the undervalued transaction.
Digital evidence recovered from mobile phones—such as draft invoices and communication logs—indicated the presence of off-the-record payments and unauthorised negotiations occurring outside the formal IBC/NCLT framework.
Evidence of Bid Manipulation and Collusion
The ED also uncovered material suggesting manipulation of the bidding process, including indications of pre-decided bids. One of the intermediaries, the lawyer involved in the case, had submitted a bid in his own name, which strengthened the suspicion of collusion and bid-rigging.
Social media chats further revealed the intermediaries’ coordination with an official of a private-sector bank, which was a secured creditor in the insolvency case. Despite an increase in the actual market value of the property, the bank allegedly accepted a haircut, enabling the purchase of assets at artificially suppressed rates.
Homebuyers Kept in the Dark; Role of Resolution Professional Questioned
The investigation has also shown that homebuyers (SRAs)—who had a direct financial stake in the property valuation—were deliberately kept uninformed about the proposed sale.
Material seized during the searches also points to negligence on part of the Resolution Professional, including procedural lapses that may have allowed intermediaries to influence the asset valuation and sale process.
Ongoing Investigation and Broader Implications
The ED’s investigation is ongoing, and all aspects of the alleged financial misconduct are being examined in detail. Officials said the raids are part of a broader effort to ensure that the IBC framework is not exploited by vested interests to carry out undervalued transactions, siphon funds, or deceive creditors and homebuyers.
Industry analysts believe that such enforcement actions are critical for enhancing transparency in the real-estate and insolvency ecosystem, particularly at a time when investor confidence hinges on fair resolution processes and robust regulatory oversight.
The agency is expected to summon all key individuals involved, including intermediaries, the Resolution Professional, and representatives of the buyer company, for further questioning.
