ED Investigates Alleged Bribery Scheme Worth ₹275 Crore in Mumbai

The Enforcement Directorate (ED) is investigating a significant bribery scheme involving former Vasi-Virar Municipal Corporation (VVCMC) chief and IAS officer Anil Pawar. The agency alleges that during his tenure, Pawar accepted bribes to issue building commencement certificates for over 5.51 crore square feet of construction in both urban and green zones. Reports suggest that the total amount of bribes may exceed ₹275 crore.

In a recent remand hearing, the ED presented its case to a special court, seeking judicial custody for Pawar and three other accused individuals. The agency alleged that Pawar and his subordinate, Y S Reddy, who served as the deputy director of town planning at VVCMC, operated an organized scheme to collect bribes for various permits, including commencement and occupancy certificates.

The ED claims that Pawar charged a commission of up to ₹50 per square foot from builders. Given the extensive area for which he issued certificates, the total bribe amounts to a staggering figure. The prosecution, represented by special public prosecutor Kavita Patil, emphasized that the investigation reveals cross-border implications, indicating that the proceeds of crime were potentially utilized outside India as well.

During the court proceedings, the ED detailed how Pawar and Reddy allegedly facilitated unauthorized construction activities in exchange for bribes. The investigation revealed a pattern of corruption, where Pawar ignored illegal constructions in the corporation area while providing protection to existing illegal buildings for a set fee. The ED stated, “Investigation so far has revealed that Pawar… in connivance with Reddy, granted commencement certificates for a total built-up area of 5,50,43,263.59 (5.51 crore) square feet in urban and green zone areas wherein bribe in the form of commission was charged at fixed rates.”

The court has remanded all four accused, including Pawar and Reddy, to judicial custody as the investigation continues. The ED has also requested the right to seek further custody if necessary. The arrests took place on August 13, 2023, marking a significant step in the ongoing investigation into corrupt practices at VVCMC.

As the case unfolds, the ED’s inquiry is expected to delve deeper into the mechanisms of the alleged bribery scheme, revealing the extent of corruption within the municipal governance framework in Mumbai. The implications of this investigation may resonate beyond local boundaries, highlighting the challenges faced in combating systemic corruption.