On the complaint of Estate Officer, Haryana Urban Development Authority (HUDA), Hisar, police today registered a case under Section 420 (cheating) of IPC against the 17 ex-servicemen.
Similar probe was being carried out in other districts as 62 such alleged bogus allotments were first reported at Gurgaon, a police spokesman said.
A retired Lt Col and an ex-Assistant Commandant of CISF were among those against whom cases were registered, he said.
The irregularities were detected from the period from October 5, 2000 to September 14, 2011.