Mumbai: A special court on Monday rejected a plea by the Maharashtra Maritime Board to take over 1,741 acres of land in Sindhudurg linked to the HDIL-PMC Bank scam, while also finding that the
Enforcement Directorate (ED) had not disclosed that an appeal concerning the attachment of the same land made by accused and former HDIL promoter Sarang Wadhawan was already pending before the appellate tribunal.
Citing an earlier ruling by a higher court, the judge noted that a special PMLA court “has to keep away its hand in the matter” when the appeal is pending before appellate authority in respect of the challenge of the order of conformation of attachment of property.
Seeking custody of the land, the board said its plea was in line with the Centre’s Maritime India Vision 2030 and Maritime Amrit Kaal Vision 2047, which aim to improve maritime infrastructure. It said the state govt had in 2008 approved a greenfield port at Vijaydurg in Sindhudurg and executed a concession agreement with Vijaydurg Ports Pvt Ltd (VPPL) for developing and operating it under the BOOST (Build, Own, Operate, Share and Transfer) model. VPPL was required to submit a detailed project report, achieve financial closure and secure clearances within 24 months. However, M/s Privilege Hi-Tech Infrastructure Ltd, a company of the HDIL group and an accused entity in the case, held major shares in VPPL, and the project was not completed, allegedly causing heavy loss to the public exchequer.
The board said the lands were in or near the proposed port area and were required for its development. It alleged that even after the project was terminated, the owners and directors of VPPL continued to control the parcels through benami farmers. It said acquisition was necessary for public welfare and maritime infrastructure in Maharashtra and sought permission to intervene, asking that the lands be released in its favour in public interest. It also proposed selling the lands, with the court’s permission, at fair value, leaving the court to decide later how the proceeds should be assigned to rightful claimants or victims.
The ED, in its reply, said it had no objection to the reliefs sought. The land is part of assets attached in the PMC Bank fraud case, in which the agency has alleged that the Wadhawans, through HDIL and related entities, fraudulently obtained loans from Punjab and Maharashtra Cooperative (PMC) Bank and diverted funds, causing losses to depositors and the bank. It has alleged properties were acquired using proceeds of crime.
According to the ED, 1,741 acres at Vijaydurg were acquired from proceeds of crime in the names of farmers through 39
benami transactions, and these farmers executed irrevocable powers of attorney in favour of Sarang Wadhawan. The property was provisionally attached in April 2024 and the attachment confirmed by the adjudicating authority in Sept 2024. The ED filed a supplementary complaint in June 2025 seeking permanent confiscation. It said monetisation of the confirmed attached property under PMLA was for public welfare and infrastructure development in Maharashtra, and therefore supported the board’s claim.
However, the court refused to accept the arrangement between ED and the board, noting the money-laundering case had not reached the stage of framing of charges. It said release could not be ordered merely because ED had no objection, particularly when the attachment was under challenge and the land was alleged to be proceeds of crime in the case.
“It is not (a) matter where the prosecution/ Enforcement Directorate has no objection and hence the properties can be released on favour of the Applicant, it is for the prosecution/ Enforcement Directorate to show why it could not commence the trial for ‘any other reason’,” the judge said.
