CBI Probe Ordered Into Money Trail Behind 42 Unauthorised Buildings: Calcutta High Court

The Calcutta High Court has ordered the Central Bureau of Investigation to conduct a preliminary enquiry into the financial dealings behind 42 completely unauthorised multi-storeyed buildings in Kolkata, while also directing the Kolkata Municipal Corporation to prepare a detailed demolition roadmap. A Division Bench of Chief Justice Ravindra Vithalrao Ghuge and Justice Tapabrata Chakraborty passed the orders on September 11, 2026, while hearing a public interest petition filed by one Sukhendu Banerjee.

The Case at Hand

The petition alleged that several unauthorised buildings in Kolkata had no identifiable owners, and that the money trail behind their construction—including payments to developers, contractors, and purchasers of tenements—remained completely untraceable. The KMC, in its report dated January 20, 2026, identified 42 such structures as completely unauthorised. Some of these buildings overlapped with structures under scrutiny in a related petition. The Corporation assured the court that steps for demolition would be initiated with police assistance to maintain law and order.

CBI to Probe Money Trail and National Security Concerns

The petitioner’s senior counsel argued that the unknown sellers, unverified buyers, and investments amounting to thousands of crores of rupees posed a serious risk to national security. The court took note of the KMC’s admission that it had no records identifying the persons investing in or profiting from these constructions.

The CBI, through the Additional Solicitor General of India, submitted that it would abide by any direction of the court. The Bench accordingly directed the CBI to carry out a preliminary enquiry based on available records, including those of civic authorities, autonomous bodies, the State government, and police complaints. The agency was also asked to examine a detailed complaint lodged by the petitioner on November 21, 2024.

KMC Told to Submit Crystal Clear Demolition Roadmap

The court directed the KMC Commissioner to file a roadmap that “should be crystal clear as regards the steps to be initiated against the particular properties by commencing the demolition activity on particular dates and completion of the demolition within the particular timelines.” This roadmap must be submitted under the Commissioner’s signature by October 14, 2026, and shared with all counsel.

Applications of Private Respondents Kept Pending

Several private respondents had filed applications seeking deletion from the proceedings. The court kept those applications pending, awaiting the CBI report and the KMC’s roadmap.

What Happens Next

The CBI has been asked to submit a preliminary report in a sealed cover on the next hearing date, October 14, 2026, to apprise the court of progress. The matter has been listed for further hearing on the same day in the urgent supplementary list.