The Special Court of PMLA granted bail to Shiv Sena MP Sanjay Raut in a money-laundering case involving the Patra Chawl redevelopment project, which is being investigated by the Enforcement Directorate, on Wednesday, November 9, 2022.

After hearing arguments from both sides, Special Judge MG Deshpande, who is designated to hear cases pertaining to the Prevention of Money Laundering Act (PMLA), granted Raut's bail plea.

On July 31, 2022, Sanjay Raut was arrested and charged with violating Section 3 read with Section 2(1)(u) of the Prevention of Money Laundering Act 2002. (PMLA). A prosecution complaint had previously been filed against four others.

The ED alleged that Raut through his "proxy" Pravin received Rs. 3.27 crore from Guru Ashish Constructions Pvt. Ltd (GACPL). This includes monies through banking channels as well as cash from the co-accused directors of GACPL.

According to the ED, GACPL entered into an agreement with MHADA for the redevelopment of Patra Chawl in Goregaon. It was supposed to build flats for the chawl's 672 tenants. GACPL was entitled to a free sale component (FSI) of MHADA's land as well as the right to sell flats to third parties. GACPL, on the other hand, illegally sold the FSI to various third-party purchasers and received over 1,034 crores without fulfilling its obligations to the tenants and MHADA. This sum was transferred to HDIL and several sister companies. According to the ED complaint (chargesheet), the directors of GACPL conspired with Sanjay Raut to launder money through the Patra Chawl Redevelopment Project. Because of Pravin Raut's proximity to Sanjay Raut, the FSI was sold to GACPL.

The charge sheet further alleges "The role played by Sanjay Raut is very crucial in granting Patra Chawl Redevelopment Scheme M/s. Guru Ashish Constructions Pvt. Ltd. He had introduced Pravin Raut as his front in Guru Ashish at 25% share without any investment in the company. It is apparent from various statements that Pravin Raut was a front of Sanjay Raut and was acting on his behalf in the project”.