New Delhi/Chandigarh: The Enforcement Directorate (ED) has apprehended Sanjeev Arora, the Punjab industries minister, in relation to a fresh money laundering investigation involving him and several associated entities, as reported by officials.

Arora, aged 62, was detained under the Prevention of Money Laundering Act (PMLA) following early morning searches at his official residence in Chandigarh. Officials indicated that he was 'non-cooperative' during the inquiry and will be transported to Delhi.

As part of this operation, the ED executed searches at five locations across northern India, including two sites in Delhi and a company named Hampton Sky Realty Ltd located in Udyog Vihar, Gurugram.

These searches were initiated after the central agency filed a new case under the criminal provisions of the PMLA, according to officials.

Previously, on April 17, the ED had conducted raids on Arora and his associated entities under the civil regulations of the Foreign Exchange Management Act (FEMA).

In this context, the agency provisionally attached the movable and immovable assets of Hampton Sky Realty Ltd, its director Arora, and related entities on April 19, citing alleged FEMA violations through fraudulent sales and exports amounting to Rs 157.12 crore.

Sanjeev Arora is a member of the Aam Aadmi Party (AAP) representing the Ludhiana West assembly constituency.

Punjab Chief Minister Bhagwant Mann criticized the raids during a press briefing in Sangrur, accusing the BJP-led Central government of utilizing agencies like the ED and CBI as 'tools' for political objectives.

Mann asserted on X that 'the end of this unethical alliance of ED-BJP will commence from Punjab.'

The ongoing investigation (under the PMLA) is focused on 'fake' GST purchases of mobile phones exceeding Rs 100 crore and subsequent exports involving alleged illicit funds from Dubai to India, as per the ED.

The ED claims that numerous fraudulent GST purchase invoices were obtained from 'non-existent' firms in Delhi to falsely claim Input Tax Credit (ITC).

After the April raids, Arora expressed his intention to fully cooperate with investigators and voiced confidence that the truth would emerge.

The AAP has labeled the raids as a politically motivated witch hunt orchestrated by the BJP government at the Centre, especially as Punjab approaches elections early next year.

Arora was already under scrutiny in a prior money laundering case, which included an ED raid in 2024, where he and his associates were accused of misusing industrial land for residential projects during his tenure as a Rajya Sabha MP.

In recent weeks, the ED has taken significant actions against politically connected figures in Punjab, which is gearing up for elections in early 2027.

Among those targeted, the agency also raided the premises of Lovely Group promoter and Rajya Sabha MP Ashok Kumar Mittal, who defected to the BJP along with six other AAP MPs following these raids.

Earlier this week, the agency conducted searches on various builders and real estate firms in Punjab, as well as an alleged associate of an AAP functionary, making allegations against Punjab AAP President and Cabinet Minister Aman Arora, who has labeled the ED's claims as a 'fabricated narrative.'