In a major blow to illegal timber trade networks, the Enforcement Directorate’s Ahmedabad Zonal Office has attached 14 immovable properties worth approximately ₹11.3 crore linked to money laundering from Khair wood smuggling. This action falls under the Prevention of Money Laundering Act (PMLA), 2002, targeting proceeds from unauthorized tree felling in Gujarat’s protected forests.
The probe originated from an FIR filed by the Range Forest Officer of Mandvi South Range under Surat Forest Division. Violations of the Wildlife Protection Act, 1972, came to light, revealing systematic illegal cutting and trafficking of Khair trees from sanctuaries in districts like Vyara, Tapi, Surat, Valsad, Navsari, and Narmada.
Key accused, including Mustak Adam Tasiya and Mohammad Tahir Ahmad Hussain, orchestrated the operation, chopping trees without permits and smuggling the wood to other states for sale in grey markets. This racket not only deprived the government of substantial revenue but also inflicted irreversible damage on wildlife habitats.
ED investigations uncovered how smuggling profits were laundered into legitimate assets. Properties in Godhra district, valued at ₹11.3 crore, were provisionally attached as proceeds of crime. Earlier, on January 12, two properties worth ₹53.50 lakh (market value ₹4.65 crore) belonging to Prem Devi Luniya and Payal Choksey were seized.
The case also intersects with a CBI probe stemming from Oriental Bank of Commerce’s complaint. On May 24, 2018, FIRs were registered against M/s Shri Om Fab and others. A chargesheet filed on December 16, 2019, exposed Ranjit Luniya’s collusion with panel valuer Mayur Shah and bank officials. Fake business records and inflated property valuations secured a ₹1.50 lakh credit limit, which ballooned to ₹10.932 crore in NPAs.
Loan funds were diverted across accounts, withdrawn as cash, and used for bullion purchases and home loans, evading detection. ED’s ongoing raids signal a zero-tolerance stance against environmental crimes fueling financial fraud. Authorities vow to pursue all angles, ensuring smugglers face the full force of law while restoring ecological balance.
