The court noted that the accused company's real estate assets were allowed to be disposed of without proper oversight. Justice Kuldeep Tiwari issued these directives after being informed of a November 6 order by a coordinate bench, in which Gulshan Babbar sought the cancellation of bail granted to IREO MD Lalit Goyal in cases of money laundering and cheating related to a real estate project.

The High Court instructed the ED director to provide the complete record of the on-going investigation and submit a personal affidavit detailing the reasons for the lapses, along with the proposed actions in case any negligence by officials is identified.

The issue was also highlighted in a PIL filed by Wing Commander (Retd.) Natarajan Monie, who alleged that IREO directors had abandoned the IREO Waterfront project in Ludhiana in 2016 after allegedly diverting and misappropriating approximately Rs 3 billion.