ED Takes Fresh Action in DHFL Fraud Case, Freezes ₹51.75 Crore

The Enforcement Directorate (ED) has frozen bank deposits worth ₹51.75 crore as part of its latest action in the alleged ₹34,615-crore bank loan fraud involving Dewan Housing Finance Corporation Ltd (DHFL) and its promoters.

According to the agency, the action was taken under the Prevention of Money Laundering Act (PMLA) following fresh searches conducted on August 19. The investigation stems from a Central Bureau of Investigation (CBI) FIR registered on the complaint of a consortium of 17 banks against DHFL promoters Kapil Wadhawan and Dheeraj Wadhawan over the alleged loan fraud.

The ED said its investigation uncovered transactions involving an immovable property, Hurtmore House, in the United Kingdom, which was held in the name of Vanita Wadhawan, wife of Kapil Wadhawan.

The agency alleged that the property was subjected to a series of transactions involving the creation of a fictitious liability in Vanita Wadhawan’s name. A purported loan agreement was allegedly executed between Al Jalore Trading FZE and Vanita Wadhawan, following which the UK property was mortgaged.

According to the ED, the arrangement was designed to create an encumbrance over the foreign property to facilitate the settlement of a liability in India arising from the alleged DHFL loan fraud.

The property was subsequently sold in 2026, with the sale proceeds transferred to a bank account of Al Jalore Trading FZE maintained in India, instead of being received by the registered owner, the agency said.

The ED alleged that the transactions facilitated the dissipation of proceeds of crime and enabled the disposal and utilisation of a foreign asset through a structured arrangement involving overseas property and entities.

During the latest searches, the agency froze the bank account of Al Jalore Trading FZE, which held USD 5.41 million, equivalent to ₹51.75 crore, under the anti-money laundering law.