HC seeks UT, Punjab, CBI response on plea alleging Rs.146-crore scam
Chandigarh, May 4 -- The Punjab and Haryana High Court has sought response from the Chandigarh administration, the Punjab government, the Central Bureau of Investigation (CBI) and several serving and retired IPS officers on a petition alleging a multi-crore fraud involving a housing society formed for Punjab Police personnel for construction of flats in New Chandigarh.
Justice Jagmohan Bansal issued the notice while hearing a petition filed by The Punjab Police Primary Consumers Cooperative Society Limited and fixed August 20 for the next hearing.
The petition seeks a court-monitored CBI probe into allegations of embezzlement of more than Rs.146 crore and the alleged fraudulent transfer of nearly 60 acres of society land in New Chandigarh. According to the plea, the society was formed in 2009 primarily for lower-rank police personnel many of whom allegedly invested their savings and took bank loans for promised residential plots.
The petitioner alleged that senior serving and retired IPS officers allegedly entered into a conspiracy with a private builder to illegally transfer land and siphon off funds collected from society members. The petition claims that in 2010, a retired DGP allegedly chaired meetings and facilitated the appointment of a builder without any tendering process. An MoU was subsequently signed for the development of a 100-acre township project in New Chandigarh.
The society alleged that members deposited over Rs.111 crore for the first housing project, while another Rs.35 crore was collected for a second project for which no land was ever purchased. The petition further alleged manipulation of land records by duplicating khasra numbers in sale deeds to inflate the actual land area and claimed that land originally purchased in the society's name was later transferred to the builder.
The plea also alleged that certain officers used their official positions to suppress inquiries into the matter. It referred to a 2017 incident in which a serving IPS officer allegedly used Vigilance Bureau letterhead to summon an inquiry officer probing complaints against the society's management.
The petition states that representations submitted to the Punjab Police in August 2023 did not lead to registration of an FIR. It further pointed to a 2025 special audit report by the chief auditor, Cooperative Societies, Punjab, which found "irregularities"....
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