Fri Apr 18 11:36:16 UTC 2025: ## Chennai ED Seizes ₹121.8 Crore in Neomax Properties Money Laundering Case

**Chennai, Tamil Nadu, April 18, 2025** – The Directorate of Enforcement (ED) in Chennai has provisionally attached ₹121.80 crore worth of assets belonging to Neomax Properties Private Ltd. and its associated companies. This action, taken under the Prevention of Money Laundering Act (PMLA), 2002, includes both movable and immovable properties located throughout Tamil Nadu. The ED estimates the market value of the seized assets to be approximately ₹600 crore.

This seizure follows a previous attachment of ₹117 crore worth of properties in December 2023, which has since been confirmed by the PMLA Adjudicating Authority. The investigation stems from an FIR filed by the Economic Offences Wing (EOW) in Madurai, accusing Neomax and its subsidiaries of defrauding investors. The companies allegedly promised high returns (12-30%) on real estate investments but failed to deliver on their promises.

The ED’s investigation revealed that Neomax Group collected substantial sums of cash from thousands of investors, diverting funds to shell companies and various businesses including hotels, hospitals, pharmaceutical distribution, construction, retail, and even aerospace services. The group reportedly owes approximately ₹8,000 crore to investors, including promised returns. Further complicating the matter, the ED alleges that Neomax coerced investors into redepositing their maturity amounts instead of repaying them. The investigation is ongoing.

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