Birch by Romeo Lane Fire: Goa Club Blaze Case; ED Says ₹22 Crore Earned in Two Years Is ‘Proceeds of Crime’, Searches Conducted Across Goa, Delhi and Gurgaon

Panaji: The Enforcement Directorate (ED) has intensified its probe into the devastating fire at Birch by Romeo Lane, a nightclub in Goa where 25 people lost their lives on December 6, stating that the club generated ₹22 crore in revenue over the last two financial years, which is now suspected to be proceeds of crime.

In a statement issued on Sunday, the ED said the revenue earned by the entity operating the nightclub is under scrutiny as part of a money-laundering investigation linked to alleged illegal operations and regulatory violations. The probe is being carried out against Saurabh Luthra, Gaurav Luthra and Ajay Gupta, owners and partners of Birch by Romeo Lane.

Searches at nine locations

Earlier this week, the Panaji Zonal Office of the Directorate of Enforcement conducted coordinated searches at nine premises across Goa, Delhi and Gurgaon. In Goa, the searches included premises linked to Roshan Redkar, the then sarpanch of the Arpora–Nagoa village panchayat, and Raghuvir Bagkar, the then panchayat secretary.

According to the ED, both officials are alleged to have facilitated the issuance of trade licences and No Objection Certificates (NOCs) that allowed the club to operate, despite alleged violations of safety and regulatory norms.

During the searches, the agency seized documents and digital evidence related to financial transactions, licensing approvals, and the operational structure of the nightclub. These materials are being examined to establish the money trail and identify beneficiaries of the alleged illegal proceeds.

Case rooted in Goa Police FIRs

The ED said the investigation was initiated on the basis of two FIRs registered by the Goa Police, which include scheduled offences under the Prevention of Money Laundering Act (PMLA), 2002. These FIRs form the legal foundation for the money-laundering probe.

Following the tragic blaze, the Goa Police booked the Luthra brothers, along with the club’s partners, manager, event organiser, and other managerial staff, charging them with culpable homicide and other serious offences. The police alleged gross negligence, overcrowding, and failure to adhere to fire safety norms.

Revenue under scanner

The ED has taken the position that the ₹22 crore earned over two years may have been generated through illegal operations enabled by regulatory lapses and misuse of official authority. If proven, the amount could be attached under the PMLA as proceeds of crime.

Officials indicated that further action, including attachment of properties and bank accounts, may follow as the investigation progresses.

The case has triggered widespread outrage and renewed debate over regulatory oversight, political-administrative collusion, and safety compliance in Goa’s nightlife industry.

The ED said the probe is ongoing and further disclosures are expected as financial and documentary evidence is analysed.