Delhi High Court Allows Commander Realtors To Substitute ED-Attached Land With Properties Worth ₹1,062 Crore

The Delhi High Court has permitted Commander Realtors Private Limited to substitute land attached by the Enforcement Directorate (ED) with alternative properties valued at approximately ₹1,062.89 crore.

The substitution follows a reconciliation that reduced the alleged proceeds of crime in the case from ₹1,813.74 crore to ₹1,017.19 crore.

Justice Amit Mahajan allowed the company's petition after the ED expressed no serious objection to the substitution, provided adequate safeguards were imposed to protect the interests of the government and ensure that the replacement assets were untainted.

The case arises from a CBI investigation into alleged irregularities in the acquisition, release and licensing of land in Sectors 58-63 and 65-67 of Gurugram. The CBI registered a case in 2019 under provisions relating to cheating, criminal conspiracy and corruption. The ED registered an ECIR and through a provisional attachment order dated October 14, 2024, attached properties forming part of land covered by Licence quantifying the alleged proceeds of crime at ₹1,813.74 crore.

On April 1, 2025, the Adjudicating Authority confirmed attachment of 52.7609 acres valued at approximately ₹1,759.84 crore. Following a reconciliation directed by the Appellate Tribunal, the ED revised the alleged proceeds of crime to ₹1,017.19 crore, a reduction of approximately ₹796.55 crore. The company offered alternative properties in Punjab and Haryana valued at ₹1,062.89 crore.

The Court accepted the substitution subject to several safeguards. Commander Realtors must establish clear and marketable title and undisputed ownership of the replacement properties, which must be free from encumbrances and third-party claims. It must also disclose its relationship with the entities owning the properties and provide details of the source of funds used to acquire them.

The Court further directed that the substituted properties cannot be sold, transferred or alienated during the proceedings. Original title documents must be deposited with the ED, along with an indemnity bond, a demarcated site plan and an undertaking to hand over possession to the ED, subject to the company's right to challenge the attachment. The company must also cooperate with the investigation.

The Court clarified that substitution would not prejudice the ED's rights or affect the merits of the ongoing proceedings.

For the Petitioner: Sr. Adv. Ravi Prakash, with Roohe Hina Dua, Arav Pandit, Ruchi Kumar & Ali Khan

For the Respondent: Nidhi Raman, CGSC with Arnav Mittal, Mr. Akash Mishra & Nikita Singh, Advs. for UOI. Anurag Jain with Sagar Singh & Dileep Mangawa, Advs. for ED