Bengaluru: The Directorate of Enforcement (ED) has arrested S. Vasudevan, CMD and promoter of Ozone Urbana Infra Developers Pvt Ltd, in connection with a money laundering case involving alleged fraud of ₹927.22 crore against homebuyers.
Vasudevan was arrested on September 30 under Section 19 of the Prevention of Money Laundering Act (PMLA), 2002. He was produced before the Special Court (PMLA), Bengaluru, on October 1, which granted the ED 14 days’ custody for further investigation.
According to the ED, the investigation was initiated based on multiple FIRs registered in Bengaluru under Sections 419, 420 and 120B of the Indian Penal Code. A separate FIR was also registered by the CBI’s Economic Offences-I branch in New Delhi following directions from the Supreme Court.
The agency alleged that Ozone Urbana Infra Developers had failed to complete projects on time and hand over flats to homebuyers despite collecting money from them. The company allegedly induced customers by offering to pay their pre-construction EMIs until possession of their flats was handed over.
However, according to the ED, the developer failed to honour these commitments, neither delivered the residential units nor refunded the amounts deposited by homebuyers. The agency alleged that the entire upfront booking amount was misappropriated.
The ED said its investigation had revealed that Ozone Urbana Infra Developers, along with Vasudevan, had allegedly defrauded homebuyers to the tune of ₹927.22 crore and diverted the funds instead of delivering apartments against the payments received.
Earlier, the ED’s Bengaluru Zonal Office had conducted searches under Section 17 of the PMLA on August 1, 2025, and seized documents from various premises in connection with the case.
Based on its investigation, the agency had also issued a provisional attachment order on October 4, 2025, attaching immovable properties valued at ₹423.78 crore under the provisions of the PMLA.
The ED said a parallel investigation was also underway based on three FIRs registered by the CBI against Ozone Infra Developers Pvt Ltd, Ozone Realtors Pvt Ltd and Ozone Projects Pvt Ltd for allegedly defrauding homebuyers. Vasudevan is a common director in all three companies, the agency said.
The latest arrest, the ED said, was based on material gathered during the investigation and is aimed at tracing the generation, diversion, layering and utilisation of the alleged proceeds of crime, including the role of the promoter, group entities and other persons through whom the funds were allegedly routed.
Further investigation is underway, the ED said.
