Bengaluru cops can’t find builder accused of cheating, but ED does; raids three locations linked to Aryan Hometec in ₹90-crore fraud case

The money laundering investigation was initiated based on multiple FIRs registered by the police following complaints from a landowner, homebuyers and financial institutions

Updated - November 05, 2026 09:49 am IST - Bengaluru

The Enforcement Directorate claimed that although the local police had filed ‘C’ reports in certain cases, citing the accused as untraceable, its investigators managed to establish their whereabouts before conducting the searches.

The Enforcement Directorate (ED) on Wednesday conducted searches at three locations linked to Aryan Hometec Private Limited in connection with an alleged ₹90-crore fraud and money laundering case.

The searches targeted the company’s directors, Bharath Reddy and Rashmi Bharath Reddy. The agency said it had seized incriminating documents and other valuable records during the operation.

The money laundering investigation was initiated based on multiple FIRs registered by the police following complaints from a landowner, homebuyers and financial institutions. The ED claimed that although the local police had filed ‘C’ reports in certain cases, citing the accused as untraceable, its investigators managed to establish their whereabouts before conducting the searches.

According to the investigation, Aryan Hometec had entered into a Joint Development Agreement with landowner B.G. Anjinappa to develop two projects, Aryan Fountain Square and Aryan Golden Arena, with the developer and landowner having respective shares of 63% and 37%.

The ED alleged that the company’s directors cheated Anjinappa by failing to construct and hand over the apartments allocated to him under the agreement. They also allegedly made him a guarantor for institutional loans raised by the company.

As a result, Anjinappa was forced to repay a substantial portion of the loans to retain his land despite not receiving any returns from the developer, the agency said.

The investigation further revealed that the directors allegedly siphoned off around ₹90 crore collected from homebuyers and investors, which was meant for the construction of the projects.

The ED alleged that the funds were diverted to family members and entities owned by the family as part of a money laundering operation.

Further investigation is under way.

Published - November 04, 2026 10:23 pm IST

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