Bengaluru: The Enforcement Directorate (ED) has provisionally attached land and flats worth ₹4.06 crore in connection with the Transferable Development Rights (TDR) scam involving the Bruhat Bengaluru Mahanagara Palike (BBMP). The seized properties are linked to brokers and fake owners allegedly involved in the racket.

The action follows a major crackdown on May 23, when ED officials conducted simultaneous searches at nine locations, including the office of Valmark Realty Holdings Pvt. Ltd. (VRHPL), its directors, builders, brokers, and residences of fake TDR applicants. Crucial documents and evidence were seized during the raids, leading to the attachment of immovable assets.

The TDR scam dates back to 2009–2015, when the BBMP and the Bengaluru Development Authority (BDA) were under scrutiny for fraudulent issuance of development rights. The Anti-Corruption Bureau (ACB) had earlier registered an FIR in the case, revealing that VRHPL illegally obtained TDR certificates and sold them to real estate companies and private individuals, making unlawful gains of around ₹27.68 crore.

Based on the ACB’s findings, the ED registered a case under the Prevention of Money Laundering Act (PMLA) and began its probe. Investigations revealed the involvement of BBMP officials, developers, and brokers in fabricating ownership documents and fraudulently claiming TDR benefits.

According to the ED, the scam involved collusion between civic body insiders and private players to exploit the TDR system, which is intended to compensate landowners surrendering land for public projects. Instead, fake owners and shell companies allegedly pocketed the benefits, causing substantial loss to the exchequer.

The ED stated that further investigation is underway to trace additional assets and identify all beneficiaries of the fraudulent transactions. More seizures and chargesheets are expected in the coming months.