The directorate of enforcement (ED) has auctioned 23 attached immovable properties worth about ₹159 crore belonging to the accused Nowhera Shaik, the Heera group of companies and related entities, marking a significant step towards compensating thousands of investors allegedly defrauded in one of the country's largest investment fraud cases. With ₹159 crore worth of attached assets now monetised, the auction represents one of the most significant recovery actions undertaken so far in the long-running Heera group case. However, the amount recovered remains a fraction of the alleged ₹5,978 crore collected from investors, underscoring the scale of the alleged fraud.
The auction was conducted by the Hyderabad zonal office of ED through Metal Scrap Trade Corporation Ltd (MSTC) on 19 June 2026, in compliance with directions issued by the Supreme Court.
According to ED, the auctioned properties had earlier been attached under the Prevention of Money Laundering Act (PMLA), 2002, after investigators identified them as assets derived from proceeds of crime generated through alleged fraudulent investment schemes operated by the Heera group. The attachments were subsequently confirmed by the adjudicating authority under the PMLA.
The money laundering investigation against Ms Shaik, Heera group of companies and others was initiated after allegations that the group collected investments exceeding ₹5,978 crore from members of the public across the country by promising exceptionally high returns of more than 36% annually.
ED alleged that despite mobilising thousands of crores from investors, the accused failed to return even the principal amounts to many investors, resulting in substantial financial losses.
The agency described the investors as 'gullible members of the public' who were allegedly induced to invest on the promise of unusually high and assured returns.
ED said the auction process was carried out in a transparent and competitive manner through MSTC in accordance with directions issued by the apex court.
The sale proceeds realised from the auction will be utilised for restitution and repayment to genuine investors and victims, subject to the supervision and directions of the SC, the agency said.
The development is expected to advance the process of compensating thousands of investors who allegedly lost money in the investment schemes operated by the accused entities.
The agency said the monetisation of attached assets forms a crucial part of efforts to recover proceeds of crime and channel them towards victim compensation.
ED also highlighted developments concerning Ms Shaik's custody status. According to the agency, she failed to comply with directions issued by the Supreme Court during the course of the proceedings. Taking serious note of the alleged non-compliance, the apex court cancelled her bail.
Subsequently, the Special Court under the PMLA in Hyderabad issued a non-bailable warrant against her on 7 May 2026.
Acting on specific intelligence inputs, ED officials arrested Ms Shaik from Gurugram, Haryana, on 21 May 2026. She was later produced before the jurisdictional court, which remanded her to judicial custody. She continues to remain in custody, according to the agency.
ED said Nazneen Ansari, also known as Abeeda, who served as Ms Shaik's personal assistant, was also arrested in connection with the case.
Investigators alleged that Ms Ansari was involved in activities related to the possession, use and further generation of proceeds of crime.
The agency further alleged that, despite being aware of the Supreme Court's directions regarding the auction of attached properties, she deliberately attempted to obstruct the auction process by preventing inspections of the properties and portraying them as untainted assets.
Following her arrest, Ms Ansari was produced before the Special Court under the PMLA, which remanded her to judicial custody. She also continues to remain in custody.
The agency said it remains committed to ensuring effective attachment, confiscation and monetisation of proceeds of crime in accordance with the law.
ED emphasised that the ultimate objective of the auction exercise is to facilitate restitution to defrauded investors under the supervision of the Supreme Court.
The agency said further investigation into the matter is continuing.
