ED attaches ₹10.66 crore Patnitop hotels in land encroachment case

This is a press release from the Directorate of Enforcement (ED), Jammu Sub-Zonal Office, announcing the provisional attachment of immovable properties worth approximately ₹10.66 Crore under the Prevention of Money Laundering Act (PMLA), 2002. It matters to citizens as it details the enforcement action taken against specific hotels in the Patnitop area for alleged land encroachment and unauthorized commercial use.

Who it concerns: The document concerns the owners/directors of Hotel Holiday Inn, Hotel Broadway, Hotel Hollywood, and Hotel Mountview in Patnitop, District Udhampur, Jammu and Kashmir; officials of the Patnitop Development Authority (PDA); the Central Bureau of Investigation (CBI); and the Directorate of Enforcement (ED).

What the ED says it did

• ED provisionally attached immovable properties worth ₹10.66 Crore (approx.) under PMLA, 2002.
• Attached properties include land and buildings of Hotel Holiday Inn, Hotel Broadway, Hotel Hollywood, and Hotel Mountview in Patnitop, District Udhampur.
• ED investigation was initiated based on an FIR registered by CBI, ACB, Jammu against hotel owners and PDA officials.
• Allegations include commercial use of residential buildings, excess construction beyond approved limits, and operating businesses in prohibited areas (dense forests, agricultural areas, residential areas).
• CBI filed six charge sheets in 2023 against eight hotel owners and several PDA officials under various laws including the J&K Prevention of Corruption Act and J&K Forest Act, 1987.
• ED found Hotel Holiday Inn had unauthorized construction of 7,552.74 square feet beyond the approved plan.
• ED found Hotel Broadway, Hotel Hollywood, and Hotel Mountview were commercially operated without requisite permission for hotel operations.
• Properties were attached as Proceeds of Crime equivalent to income derived from unauthorized commercial exploitation.
• Cumulative value of properties provisionally attached in this case stands at ₹41.38 Crore (approx.), including earlier attachments of ₹30.72 Crore in 2025.

Also in the document

• The ED investigation revealed that PDA officials overlooked lapses in compliance regarding the hotels' operations and construction.
• The attached properties include not just the buildings but also appurtenant land and property equivalent in value to the income derived from the unauthorized activities.