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A ‘shadow developer’ and Rs 47 crore: The explosive probe shaking Himachal’s top bureaucracy

While the Acting Chief Secretary has set aside the findings on the Chester Hills project, Opposition parties are demanding a Special Investigation Team (SIT) to probe allegations of corruption and benami transactions.

Chester Hills HimachalA view of the Chester Hills project in Himachal Pradesh (File photo).
Written by: Saurabh Parashar
4 min readShimlaApr 5, 2026 03:23 PM IST First published on: Apr 5, 2026 at 01:53 PM IST

A 25-page investigative report by SDM Solan, Poonam Bansal, has triggered a political and administrative firestorm in Himachal Pradesh. The report alleges a massive circumvention of Section 118 of the HP Tenancy and Land Reforms Act, 1972, involving a multi-crore gated housing project named Chester Hills. The controversy has escalated into a standoff between field officers and the state’s top brass, with allegations of corruption reaching the office of the Acting Chief Secretary.

What is Chester Hills?

Registered with the HP Real Estate Regulatory Authority (RERA) in 2019, Chester Hills is a luxury housing brand located in Solan. While the project is promoted by NG Estate (partners Sudershan Singla and Megh Raj), the legal “promoter” on record is Hans Raj Thakur, a Himachali agriculturist from Mandi.

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The probe focuses specifically on Chester Hills-2 and Chester Hills-4, which comprise 228 flats. The core of the dispute is whether Thakur is a genuine developer or merely a “front” for non-agriculturist real estate players.

The allegations: A ‘benami’ arrangement?

In August 2025, local resident Rajiv Shandil and an Allottees Association filed complaints alleging Section 118 violations Using a local agriculturist to bypass the ban on non-locals buying agricultural land.

He also alleged that non-agriculturist partners (Aditya Singla and Arpit Kumar Garg) exercise actual financial and administrative control over the project. Marketing and sale proceeds flow to non-agriculturist entities despite the land being in Thakur’s name, he claimed.

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The findings: ‘A structured device to evade the law’

SDM Poonam Bansal’s report, submitted on November 13, 2025, highlights several red flags discovered during field inspections and revenue audits:

The shadow developer: While the title remains with Hans Raj Thakur, the report concludes that “substantive control, development, and marketing” are handled by the non-agriculturist firm Chester Hills.

Disproportionate assets: Between 2015 and 2023, Thakur and his family acquired 275 bighas of prime land in Solan and Kasauli. The project value is estimated at Rs 47.09 crore, a figure the SDM noted is wildly inconsistent with Thakur’s modest income tax returns (ITRs).

Cancellation tactic: A Joint Development Agreement (JDA) between the parties was abruptly cancelled in January 2025, replaced by a General Power of Attorney (GPA). The SDM termed this a “colourable device” intended to mask the illegal transfer of proprietary rights.

Financial links: The probe found that Sudershan Singla (NG Estate) acted as a guarantor for an Rs 8 crore loan taken by Thakur in 2017, further proving a deep financial nexus.

Under Section 118, only “Himachali agriculturists” can own agricultural land in the state. Non-agriculturists require stringent government permission for specific projects. The SDM’s report argues that by using Thakur as a “benami” owner, the developers bypassed the need for these state-level clearances.

Bureaucratic war

The report’s recommendations, which include the state taking over (vesting) the land and referring the case to the Income Tax Department and enforcement authorities, were met with immediate resistance from the top.

Acting Chief Secretary Sanjay Gupta issued a letter setting aside the SDM’s recommendations. He termed the probe “violative of the law” and argued that acting on it would “hurt the interests of (local) agriculturists” who had rightfully taken bank loans.

On March 24, 2026, Advocate Vinay Sharma filed a police complaint against Gupta, alleging he was shielding the developers and preventing the Solan Deputy Commissioner from filing an FIR.

Gupta has denied the allegations, telling The Indian Express that he was not the RERA Chairman at the time the permissions were granted. He claims he is the victim of a “bureaucratic lobby” trying to derail his service extension by dragging his name into the scandal.

The matter has now turned into a major political tool. BJP and CPI(M) MLAs have demanded a Special Investigation Team (SIT) and the intervention of Chief Minister Sukhu. Meanwhile, the original complainants have reportedly withdrawn their pleas, adding another layer of mystery to the ongoing investigation into one of Himachal’s largest land-use scandals.

Saurabh Parashar is an Assistant Editor at The Indian Express, pri... Read More

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