News Analysis India

Tag: money laundering

  • ED grills former Delhi health minister Satyendar Jain in alleged money laundering case

    By Express News Service

    NEW DELHI: Delhi’s former health minister Satyendar Kumar Jain lodged at Tihar Prison is being questioned by Enforcement Directorate (ED) sleuths on Friday in an alleged money laundering case.

    The ED had initiated a money laundering investigation on the basis of the case registered by the Central Bureau of Investigation in 2017 against Jain and others under the provisions of sections of the Prevention of Corruption Act and Section 109 of the Indian Penal Code.

    During the course of the investigation, on March 3, 2022, ED had provisionally attached immovable properties worth Rs. 4.81 Crore belonging to Akinchan Developers Pvt. Ltd., Indo MetalimpexPvt Ltd,  ParyasInfosolutions Pvt. Ltd.,  Manglayatan Projects Pvt. Ltd., J.J. Ideal Estate Pvt. Ltd., and others under Prevention of Money Laundering Act (PMLA), 2002.

    An investigation by ED revealed that during the period 2015-16, when Jain was a public servant, the above-mentioned four companies (beneficially owned and controlled by him) received accommodation entries to the tune of Rs.4.81 crore from shell companies against cash transferred to Kolkata based entry operators through Hawala route.

    ALSO READ | Pan-India raids: ED searches 40 locations as part of Delhi liquor policy case

    These amounts were utilized for the direct purchase of agricultural land or for the repayment of loans taken for the purchase of agricultural land in and around Delhi. The accused persons were therefore found to be involved in the activity connected with the “Proceeds of Crime” generated as a result of criminal activity related to the scheduled offence and thereby have committed offences of Section 3 of PMLA 2002.

    Jain was arrested on 30.05.2022 and Vaibhav Jain and Ankush Jain were arrested on 30.06.2022 for the commission of an offence under Section 3 of PMLA, 2002. These three accused are currently in Judicial Custody.

    NEW DELHI: Delhi’s former health minister Satyendar Kumar Jain lodged at Tihar Prison is being questioned by Enforcement Directorate (ED) sleuths on Friday in an alleged money laundering case.

    The ED had initiated a money laundering investigation on the basis of the case registered by the Central Bureau of Investigation in 2017 against Jain and others under the provisions of sections of the Prevention of Corruption Act and Section 109 of the Indian Penal Code.

    During the course of the investigation, on March 3, 2022, ED had provisionally attached immovable properties worth Rs. 4.81 Crore belonging to Akinchan Developers Pvt. Ltd., Indo MetalimpexPvt Ltd,  ParyasInfosolutions Pvt. Ltd.,  Manglayatan Projects Pvt. Ltd., J.J. Ideal Estate Pvt. Ltd., and others under Prevention of Money Laundering Act (PMLA), 2002.

    An investigation by ED revealed that during the period 2015-16, when Jain was a public servant, the above-mentioned four companies (beneficially owned and controlled by him) received accommodation entries to the tune of Rs.4.81 crore from shell companies against cash transferred to Kolkata based entry operators through Hawala route.

    ALSO READ | Pan-India raids: ED searches 40 locations as part of Delhi liquor policy case

    These amounts were utilized for the direct purchase of agricultural land or for the repayment of loans taken for the purchase of agricultural land in and around Delhi. The accused persons were therefore found to be involved in the activity connected with the “Proceeds of Crime” generated as a result of criminal activity related to the scheduled offence and thereby have committed offences of Section 3 of PMLA 2002.

    Jain was arrested on 30.05.2022 and Vaibhav Jain and Ankush Jain were arrested on 30.06.2022 for the commission of an offence under Section 3 of PMLA, 2002. These three accused are currently in Judicial Custody.

  • ED registers money laundering case to probe alleged irregularities in Delhi Excise policy 

    By PTI

    NEW DELHI: The Enforcement Directorate has registered a money laundering case to probe alleged irregularities in the Delhi Excise policy allegedly involving Deputy Chief Minister Manish Sisodia and others, official sources said Tuesday.

    The federal agency has filed the case under the criminal sections of the Prevention of Money Laundering Act (PMLA) after taking cognisance of a CBI FIR that has named Sisodia and 14 others.

    The CBI had conducted raids in the case last week on August 19 and had covered the Delhi residence of Sisodia, 50, that of IAS officer and former Delhi excise commissioner Arava Gopi Krishna and 19 other locations across seven states and Union Territories.

    Sisodia holds multiple portfolios in the Chief Minister Arvind Kejriwal-led Delhi government including that of excise and education.

    The ED will probe if alleged irregularities were done in the formulation and execution of the Delhi Excise Policy brought out in November last year.

    The scheme came under the scanner after Delhi Lt Governor V K Saxena last month recommended a CBI probe into alleged irregularities in the implementation of Delhi’s Excise Policy 2021-22.

    He also suspended 11 excise officials in the matter.

    Sisodia too demanded a CBI probe into the alleged irregularities in the policy.

    The CBI inquiry was recommended on the findings of the Delhi chief secretary’s report filed in July showing prima facie violations of the GNCTD Act 1991, Transaction of Business Rules (ToBR)-1993, Delhi Excise Act-2009 and Delhi Excise Rules-2010, officials said.

    The ED, during its probe, will analyse if individuals and companies who were involved in the policy-making of this scheme and related entities generated any “proceeds of crime under the definition of PMLA” and if there was any possible creation of illegal or benami assets, sources said.

    The agency has powers to attach such assets and question, arrest and prosecute those who indulge in the offence of money laundering.

    According to officials, the chief secretary’s report had shown prima facie violations, including “deliberate and gross procedural lapses”, to provide post-tender “undue benefits to liquor licensees” through the policy.

    It is alleged that undue financial favours were extended to liquor licensees after the tenders were awarded, causing loss to the exchequer.

    The excise department gave a waiver of Rs 144.36 crore to the licensees on the tendered licence fee on the excuse of COVID-19, sources claimed.

    They added that it also refunded the earnest money of Rs 30 crore to the lowest bidder for the licence of the airport zone when it failed to obtain a no-objection certificate (NOC) from airport authorities.

    “It was in gross violation of rule 48(11)(b) of the Delhi Excise Rules, 2010, which clearly stipulates that the successful bidder must complete all formalities for the grant of the licence, failing which all deposits made by him shall stand forfeited to the government,” a source said.

    The Excise Policy 2021-22, formulated on the basis of an expert committee report, was implemented on November 17 last year and retail licences were issued under it to private bidders for 849 vends across the city, divided into 32 zones.

    NEW DELHI: The Enforcement Directorate has registered a money laundering case to probe alleged irregularities in the Delhi Excise policy allegedly involving Deputy Chief Minister Manish Sisodia and others, official sources said Tuesday.

    The federal agency has filed the case under the criminal sections of the Prevention of Money Laundering Act (PMLA) after taking cognisance of a CBI FIR that has named Sisodia and 14 others.

    The CBI had conducted raids in the case last week on August 19 and had covered the Delhi residence of Sisodia, 50, that of IAS officer and former Delhi excise commissioner Arava Gopi Krishna and 19 other locations across seven states and Union Territories.

    Sisodia holds multiple portfolios in the Chief Minister Arvind Kejriwal-led Delhi government including that of excise and education.

    The ED will probe if alleged irregularities were done in the formulation and execution of the Delhi Excise Policy brought out in November last year.

    The scheme came under the scanner after Delhi Lt Governor V K Saxena last month recommended a CBI probe into alleged irregularities in the implementation of Delhi’s Excise Policy 2021-22.

    He also suspended 11 excise officials in the matter.

    Sisodia too demanded a CBI probe into the alleged irregularities in the policy.

    The CBI inquiry was recommended on the findings of the Delhi chief secretary’s report filed in July showing prima facie violations of the GNCTD Act 1991, Transaction of Business Rules (ToBR)-1993, Delhi Excise Act-2009 and Delhi Excise Rules-2010, officials said.

    The ED, during its probe, will analyse if individuals and companies who were involved in the policy-making of this scheme and related entities generated any “proceeds of crime under the definition of PMLA” and if there was any possible creation of illegal or benami assets, sources said.

    The agency has powers to attach such assets and question, arrest and prosecute those who indulge in the offence of money laundering.

    According to officials, the chief secretary’s report had shown prima facie violations, including “deliberate and gross procedural lapses”, to provide post-tender “undue benefits to liquor licensees” through the policy.

    It is alleged that undue financial favours were extended to liquor licensees after the tenders were awarded, causing loss to the exchequer.

    The excise department gave a waiver of Rs 144.36 crore to the licensees on the tendered licence fee on the excuse of COVID-19, sources claimed.

    They added that it also refunded the earnest money of Rs 30 crore to the lowest bidder for the licence of the airport zone when it failed to obtain a no-objection certificate (NOC) from airport authorities.

    “It was in gross violation of rule 48(11)(b) of the Delhi Excise Rules, 2010, which clearly stipulates that the successful bidder must complete all formalities for the grant of the licence, failing which all deposits made by him shall stand forfeited to the government,” a source said.

    The Excise Policy 2021-22, formulated on the basis of an expert committee report, was implemented on November 17 last year and retail licences were issued under it to private bidders for 849 vends across the city, divided into 32 zones.

  • SC agrees to list plea seeking review of PMLA judgment

    By PTI

    NEW DELHI: The Supreme Court on Monday agreed to list a plea seeking review of its order upholding the Enforcement Directorate’s powers related to arrest, attachment of property involved in money laundering, search and seizure under the Prevention of Money Laundering Act.

    “Okay, we will list it,” a bench headed by Chief Justice N V Ramana said after the plea was mentioned before it.

    It is common experience the world over that money laundering can be a “threat” to the good functioning of a financial system, the apex court had observed on July 27 while upholding the validity of certain provisions of the PMLA. It underlined that this is not an “ordinary offence”.

    The Centre has been insisting money laundering is an offence that is committed not only by unscrupulous businessmen but also terror organisations, posing a grave threat to national security.

    A bench headed by Justice A M Khanwilkar had said authorities under the 2002 Act are “not police officers as such” and the Enforcement Case Information Report (ECIR) cannot be equated with an FIR under the Code of Criminal Procedure (CrPC).

    The bench had said supply of an ECIR copy in every case to the person concerned is not mandatory and it is enough if the ED, at the time of arrest, discloses the grounds of such an arrest.

    The petitioners in the case had raised the issue of the contents of ECIR not being disclosed to the accused.

    The court’s judgement came on a clutch of over 200 petitions filed by individuals and other entities questioning various provisions of the PMLA, a law which the opposition has often claimed has been weaponised by the government to harass its political adversaries.

    NEW DELHI: The Supreme Court on Monday agreed to list a plea seeking review of its order upholding the Enforcement Directorate’s powers related to arrest, attachment of property involved in money laundering, search and seizure under the Prevention of Money Laundering Act.

    “Okay, we will list it,” a bench headed by Chief Justice N V Ramana said after the plea was mentioned before it.

    It is common experience the world over that money laundering can be a “threat” to the good functioning of a financial system, the apex court had observed on July 27 while upholding the validity of certain provisions of the PMLA. It underlined that this is not an “ordinary offence”.

    The Centre has been insisting money laundering is an offence that is committed not only by unscrupulous businessmen but also terror organisations, posing a grave threat to national security.

    A bench headed by Justice A M Khanwilkar had said authorities under the 2002 Act are “not police officers as such” and the Enforcement Case Information Report (ECIR) cannot be equated with an FIR under the Code of Criminal Procedure (CrPC).

    The bench had said supply of an ECIR copy in every case to the person concerned is not mandatory and it is enough if the ED, at the time of arrest, discloses the grounds of such an arrest.

    The petitioners in the case had raised the issue of the contents of ECIR not being disclosed to the accused.

    The court’s judgement came on a clutch of over 200 petitions filed by individuals and other entities questioning various provisions of the PMLA, a law which the opposition has often claimed has been weaponised by the government to harass its political adversaries.

  • ED to name Jacqueline Fernandez as accused in conmnan money laundering case

    By PTI

    NEW DELHI: The Enforcement Directorate (ED) has decided to name Bollywood actor Jacqueline Fernandez as an accused in a multi-crore money laundering case linked to alleged conman Sukesh Chandrashekhar and others, officials said on Wednesday.

    The federal probe agency is expected to file a fresh (supplementary) charge sheet or prosecution complaint in this case on Wednesday before a special Prevention of Money Laundering Act (PMLA) court in Delhi and the actor has been arraigned in it as an accused, they said.

    The 36-year-old actor has been questioned multiple times by the agency in this case, the last being in June. The actor, a Sri Lanka national, debuted in the Hindi film industry in 2009. The ED in April provisionally attached Rs 7.27 crore funds of the actor under the PMLA apart from Rs 15 lakh cash as the agency called these funds as “proceeds of crime”.

    “Sukesh Chandrasekhar had given various gifts worth Rs 5.71 crore to Jacqueline Fernandez from the proceeds of crime generated by criminal activities including extortion.” “Chandrasekhar had put Pinky Irani, his long time associate and co-accused in this case to deliver the said gifts to her,” the ED had then said in a statement.

    In addition to these gifts, it said, Chandrasekhar also gave “funds to the tune of USD 1,72,913 (about Rs 1.3 crore as per current exchange rate) and AUD 26740 (approx. Rs 14 lakh) to the close family members of Fernandez out of the proceeds of crime through co-accused Avtar Singh Kochhar, an established and well known international hawala operator.”

    The agency said its probe found that Chandrasekhar had “delivered cash to the tune of Rs 15 lakh to a script writer on behalf of Fernandez as advance for writing a script of her web series project.”

    The ED has alleged that Chandrashekhar used illegal money to purchase gifts for Fernandez which he had extorted by cheating high-profile people including former Fortis Healthcare promoter Shivinder Mohan Singh’s wife Aditi Singh. He is alleged to have conned Aditi Singh and her sister by impersonating as the Union home secretary and also as the Law secretary over phone.

    NEW DELHI: The Enforcement Directorate (ED) has decided to name Bollywood actor Jacqueline Fernandez as an accused in a multi-crore money laundering case linked to alleged conman Sukesh Chandrashekhar and others, officials said on Wednesday.

    The federal probe agency is expected to file a fresh (supplementary) charge sheet or prosecution complaint in this case on Wednesday before a special Prevention of Money Laundering Act (PMLA) court in Delhi and the actor has been arraigned in it as an accused, they said.

    The 36-year-old actor has been questioned multiple times by the agency in this case, the last being in June. The actor, a Sri Lanka national, debuted in the Hindi film industry in 2009. The ED in April provisionally attached Rs 7.27 crore funds of the actor under the PMLA apart from Rs 15 lakh cash as the agency called these funds as “proceeds of crime”.

    “Sukesh Chandrasekhar had given various gifts worth Rs 5.71 crore to Jacqueline Fernandez from the proceeds of crime generated by criminal activities including extortion.” “Chandrasekhar had put Pinky Irani, his long time associate and co-accused in this case to deliver the said gifts to her,” the ED had then said in a statement.

    In addition to these gifts, it said, Chandrasekhar also gave “funds to the tune of USD 1,72,913 (about Rs 1.3 crore as per current exchange rate) and AUD 26740 (approx. Rs 14 lakh) to the close family members of Fernandez out of the proceeds of crime through co-accused Avtar Singh Kochhar, an established and well known international hawala operator.”

    The agency said its probe found that Chandrasekhar had “delivered cash to the tune of Rs 15 lakh to a script writer on behalf of Fernandez as advance for writing a script of her web series project.”

    The ED has alleged that Chandrashekhar used illegal money to purchase gifts for Fernandez which he had extorted by cheating high-profile people including former Fortis Healthcare promoter Shivinder Mohan Singh’s wife Aditi Singh. He is alleged to have conned Aditi Singh and her sister by impersonating as the Union home secretary and also as the Law secretary over phone.

  • Money laundering case: HC to deliver verdict on plea to suspend Delhi minister Satyendar Jain

    By PTI

    NEW DELHI: The Delhi High Court is scheduled to pronounce on Wednesday its verdict on a plea seeking suspension of arrested Delhi minister Satyendar Jain from the cabinet. Jain has been arrested by the Enforcement Directorate (ED) in connection with a money laundering case.

    The high court is also likely to give its judgement on an appeal challenging a single judge’s order dismissing the plea seeking the agenda of the Supreme Court collegium’s meeting on December 12, 2018, when certain decisions were purportedly taken on elevation of judges to the apex court, under the RTI.

    During the day, the high court is slated to hear several other important matters, including a plea by Alt News co-founder Mohammed Zubair challenging the legality of his police remand in a case related to an alleged objectionable tweet he had posted in 2018 against a Hindu deity and bail pleas by Umar Khalid, Sharjeel Imam and Alumni Association Jamia Millia Islamia President Shifa-ur-Rehman in a UAPA case related to the alleged conspiracy behind the riots here in February 2020.

    A bench of Chief Justice Satish Chandra Sharma and Justice Subramonium Prasad had earlier reserved order on a plea by former BJP MLA Nand Kishore Garg who has said in the petition that AAP leader Jain was arrested in the money laundering case on the allegation of his involvement in hawala transactions in 2015-2016 with a Kolkata-based firm which is repugnant and inconsistent to the rule of law as he is a public servant having a constitutional oath to uphold the rule of law in the interest of public at large.

    “However, the minister under custody is still enjoying the perks and privileges of cabinet minister despite having been allegedly indicted under the serious charges which may entail severe punishment,” the plea said. The high court is also scheduled to hear a plea challenging the privacy policy of instant messaging application WhatsApp.

    ALSO READ | Satyendar Jain should be treated in Central govt hospital: ED to Delhi High Court

    Petitioner Chaitanya Rohilla has contended that the updated privacy policy violates users’ right to privacy under the Constitution and they can either accept it or exit the app, but they cannot opt not to share their data with other Facebook-owned or third-party apps.

    The plea has claimed that the new privacy policy of WhatsApp allowed full access to a user’s online activity without there being any supervision by the government. In its response, WhatsApp has claimed that the new policy did not affect a user’s privacy as personal messages continued to be protected by end-to-end encryption.

    NEW DELHI: The Delhi High Court is scheduled to pronounce on Wednesday its verdict on a plea seeking suspension of arrested Delhi minister Satyendar Jain from the cabinet. Jain has been arrested by the Enforcement Directorate (ED) in connection with a money laundering case.

    The high court is also likely to give its judgement on an appeal challenging a single judge’s order dismissing the plea seeking the agenda of the Supreme Court collegium’s meeting on December 12, 2018, when certain decisions were purportedly taken on elevation of judges to the apex court, under the RTI.

    During the day, the high court is slated to hear several other important matters, including a plea by Alt News co-founder Mohammed Zubair challenging the legality of his police remand in a case related to an alleged objectionable tweet he had posted in 2018 against a Hindu deity and bail pleas by Umar Khalid, Sharjeel Imam and Alumni Association Jamia Millia Islamia President Shifa-ur-Rehman in a UAPA case related to the alleged conspiracy behind the riots here in February 2020.

    A bench of Chief Justice Satish Chandra Sharma and Justice Subramonium Prasad had earlier reserved order on a plea by former BJP MLA Nand Kishore Garg who has said in the petition that AAP leader Jain was arrested in the money laundering case on the allegation of his involvement in hawala transactions in 2015-2016 with a Kolkata-based firm which is repugnant and inconsistent to the rule of law as he is a public servant having a constitutional oath to uphold the rule of law in the interest of public at large.

    “However, the minister under custody is still enjoying the perks and privileges of cabinet minister despite having been allegedly indicted under the serious charges which may entail severe punishment,” the plea said. The high court is also scheduled to hear a plea challenging the privacy policy of instant messaging application WhatsApp.

    ALSO READ | Satyendar Jain should be treated in Central govt hospital: ED to Delhi High Court

    Petitioner Chaitanya Rohilla has contended that the updated privacy policy violates users’ right to privacy under the Constitution and they can either accept it or exit the app, but they cannot opt not to share their data with other Facebook-owned or third-party apps.

    The plea has claimed that the new privacy policy of WhatsApp allowed full access to a user’s online activity without there being any supervision by the government. In its response, WhatsApp has claimed that the new policy did not affect a user’s privacy as personal messages continued to be protected by end-to-end encryption.

  • PMLA, FEMA stings sharper under NDA

    By Express News Service

    NEW DELHI: The Centre on Tuesday patted itself on the back for conducting more raids and searches on alleged violators of the 2002 Prevention of Money Laundering Act (PMLA) and the 1999 Foreign Exchange Management Act (c) than was done by the Congress-led UPA dispensation. 

    “During the first nine years of the administration of PMLA (FY2004-05 to FY2013-14), a small number of searches (112) was carried out”, resulting in “attachment of proceeds of crime of Rs 5,346.16 crore and filing of 104 prosecution complaints”. During the same period, trial courts neither convicted any person accused of money laundering nor confiscated any property under PMLA, the Finance Ministry said in response to a question in the Rajya Sabha.

    In contrast, between FY2014-15 and FY2021-22, “in order to dispose of pending investigations in old cases and to complete investigation in new cases in time (a) time-bound manner under PMLA, 3,010 searches were conducted during the last eight years”. 

    This, according to the Finance Ministry, “resulted in attachment of proceeds of crime worth Rs 99,356 crore, filing of 888 cases and conviction of 23 persons/entities”, besides “confiscation of proceeds of crime to the tune of Rs 869.31 crore”.

    Giving its rationale behind the spike in the number of searches by the Enforcement Directorate (ED), the government said this showed its “commitment to preventing money laundering and improved systems for gathering financial intelligence through use of technology, better inter-agency cooperation and exchange of information both domestically and internationally”. 

    Between FY2004-05 and FY2013-14, 571 searches were conducted and 8,586 cases were taken up for investigation under FEMA, resulting in the issuance of show cause notices in 2,780 cases and adjudication of 1,312 show cause notices, which led to the imposition of a penalty of Rs 1,754.33 crore. At the same time, assets to the tune of about `14 crore were seized under FEMA, the government said.

    Citing figures, the Finance Ministry claimed that between FY2014-15 and FY2021-22, the ED, using FEMA as a weapon, conducted 996 searches and took up 22,330 cases for a probe. This resulted in the issuance of show cause notices in 5,329 cases and adjudication of 5,160 show cause notices, “imposing a penalty of Rs 6,376.51 crore”.

    Also, assets to the tune of Rs 7,066 crore were seized under FEMA. The Ministry said till March this year, 992 complaints were filed in trial courts under PMLA convicting 23 accused while only one accused was discharged.

    1,811 NGOs lost FCRA licencesThe government has cancelled the FCRA licences of 1,811 NGOs for violation of provisions of the law in the last three years (2019-2021), according to the Minister of State for Home Nityanand Rai. Replying to a question in Parliament on Tuesday, he said that FCRA licence renewal applications of 783 NGOs were rejected by the government. The state-wise list given by the government shows that Tamil Nadu tops the list with 218 cancellations, followed by Maharashtra with 206. While 193 organisations in West Bengal lost their licence, Andhra Pradesh has 168 cancellations.

    2K Bangladeshis intercepted in 5 yrsEven as the Centre and the Assam government continue to be seized of the issue of illegal immigration along India’s eastern borders, 2,399 Bangladeshi nationals were “intercepted and found using fraudulently obtained Indian documents” in the last five years between 2017 and 2022, Minister of State for Home  Nityanand Rai told the Lok Sabha. The MHA said that state governments “have also been advised to share the particulars of those illegal migrants who have wrongfully obtained Aadhaar cards with UIDAI for appropriate legal action”. 

    NEW DELHI: The Centre on Tuesday patted itself on the back for conducting more raids and searches on alleged violators of the 2002 Prevention of Money Laundering Act (PMLA) and the 1999 Foreign Exchange Management Act (c) than was done by the Congress-led UPA dispensation. 

    “During the first nine years of the administration of PMLA (FY2004-05 to FY2013-14), a small number of searches (112) was carried out”, resulting in “attachment of proceeds of crime of Rs 5,346.16 crore and filing of 104 prosecution complaints”. During the same period, trial courts neither convicted any person accused of money laundering nor confiscated any property under PMLA, the Finance Ministry said in response to a question in the Rajya Sabha.

    In contrast, between FY2014-15 and FY2021-22, “in order to dispose of pending investigations in old cases and to complete investigation in new cases in time (a) time-bound manner under PMLA, 3,010 searches were conducted during the last eight years”. 

    This, according to the Finance Ministry, “resulted in attachment of proceeds of crime worth Rs 99,356 crore, filing of 888 cases and conviction of 23 persons/entities”, besides “confiscation of proceeds of crime to the tune of Rs 869.31 crore”.

    Giving its rationale behind the spike in the number of searches by the Enforcement Directorate (ED), the government said this showed its “commitment to preventing money laundering and improved systems for gathering financial intelligence through use of technology, better inter-agency cooperation and exchange of information both domestically and internationally”. 

    Between FY2004-05 and FY2013-14, 571 searches were conducted and 8,586 cases were taken up for investigation under FEMA, resulting in the issuance of show cause notices in 2,780 cases and adjudication of 1,312 show cause notices, which led to the imposition of a penalty of Rs 1,754.33 crore. At the same time, assets to the tune of about `14 crore were seized under FEMA, the government said.

    Citing figures, the Finance Ministry claimed that between FY2014-15 and FY2021-22, the ED, using FEMA as a weapon, conducted 996 searches and took up 22,330 cases for a probe. This resulted in the issuance of show cause notices in 5,329 cases and adjudication of 5,160 show cause notices, “imposing a penalty of Rs 6,376.51 crore”.

    Also, assets to the tune of Rs 7,066 crore were seized under FEMA. The Ministry said till March this year, 992 complaints were filed in trial courts under PMLA convicting 23 accused while only one accused was discharged.

    1,811 NGOs lost FCRA licences
    The government has cancelled the FCRA licences of 1,811 NGOs for violation of provisions of the law in the last three years (2019-2021), according to the Minister of State for Home Nityanand Rai. Replying to a question in Parliament on Tuesday, he said that FCRA licence renewal applications of 783 NGOs were rejected by the government. The state-wise list given by the government shows that Tamil Nadu tops the list with 218 cancellations, followed by Maharashtra with 206. While 193 organisations in West Bengal lost their licence, Andhra Pradesh has 168 cancellations.

    2K Bangladeshis intercepted in 5 yrs
    Even as the Centre and the Assam government continue to be seized of the issue of illegal immigration along India’s eastern borders, 2,399 Bangladeshi nationals were “intercepted and found using fraudulently obtained Indian documents” in the last five years between 2017 and 2022, Minister of State for Home  Nityanand Rai told the Lok Sabha. The MHA said that state governments “have also been advised to share the particulars of those illegal migrants who have wrongfully obtained Aadhaar cards with UIDAI for appropriate legal action”. 

  • ED files money-laundering chargesheet against Amnesty India, linked organisations

    By PTI

    NEW DELHI: A day after the ED issued a FEMA show-cause notice of Rs 61.72 crore against Amnesty India and its former head Aakar Patel, the agency on Saturday said it has filed a money-laundering charge sheet against the organisation and a few other entities.

    A prosecution complaint has been filed before the court of Principal City Civil and Sessions Judge, Bengaluru city against Amnesty International India Private Limited (AIIPL), Indians for Amnesty International Trust (IAIT) and others.

    The court has taken congnisance of the charge sheet filed under the criminal sections of the Prevention of Money Laundering Act (PMLA) and issued summonses to the accused, the Enforcement Directorate (ED) said in a statement.

    The money-laundering case was filed by the ED after taking cognisance of a CBI FIR against the accused, whom the latter agency had booked for alleged violations of the Foreign Contribution (Regulation) Act (FCRA), 2010 and under section 120B (criminal conspiracy) of the Indian Penal Code (IPC).

    The ED said during “2011-12, Amnesty International India Foundation Trust (AIIFT) had been granted permission under the FCRA, 2010 for receiving foreign contribution from Amnesty International, UK”.

    “The permission/registration has been subsequently revoked to this entity on the basis of adverse inputs received,” it added.

    Subsequently, two new entities – AIIPL and IAIT – were formed in 2013-14 and 2012-13 respectively to escape the FCRA route and these entities received foreign exchange “in the guise of” service export and FDI, the federal agency said.

    It said as the FCRA licence of AIIFT was “revoked” by the Centre, a “new method” was adopted by Amnesty entities to receive money from abroad as Amnesty International, UK sent Rs 51.72 crore to AIIPL in the guise of export of services and Foreign Direct Investment (FDI).

    There was no documentary proof for export proceeds or advances received for export of services to Amnesty International, UK such as invoices and copies of the agreement between AIIPL and Amnesty International, UK and the same has not been furnished by AIIPL to the authorised dealer (AD) banks, the ED alleged.

    “Amnesty International India Pvt Ltd and others have committed scheduled offence by claiming to be carrying out ‘civil Society work’, however receiving forex in a profit-making company, thereby mis-utilising the FDI, proved by the absence of any details/documents relating to exports made and layering of remittances received by AIIPL, a company into IAIT, a charitable trust.

    “In this case, both the entities have acquired proceeds of crime and layered the same in the form of various movable properties,” the agency said.

    The show-cause notice issued on Friday under the civil law of the Foreign Exchange Management Act (FEMA) penalised AIIPL for Rs 51.72 crore and Patel for Rs 10 crore.

    Patel had said they will challenge the ED action undertaken under FEMA in court.

  • Conman Sukesh Chandrashekhar case: ED makes revelations in Supreme Court, opposes change of jail

    By PTI

    NEW DELHI: The Enforcement Directorate on Monday made some startling revelations in Supreme Court against “master conman” Sukesh Chandrashekhar that he indulged in money laundering, extortion, impersonation of public officials including that of those holding constitutional posts, and opposed his plea for prison transfer outside Delhi.

    The probe agency sought to intervene in a plea of Chandrashekhar, who is lodged in Tihar jail on charges of money laundering and duping several people, and his wife seeking their transfer to a prison outside Delhi alleging threat to their lives from jail staff.

    A vacation bench of Justices CT Ravi Kumar and Sudhanshu Dhulia was told by Solicitor General Tushar Mehta that ED would like to intervene in the plea as it is the investigating agency that is probing the money laundering charges against the accused.

    Mehta said that the ED has to say something about the conduct of the petitioners. The bench agreed to list the plea on Tuesday.

    In its intervention application, the ED said Chandrashekhar has repeatedly committed offences including that of money laundering during his incarceration in the jail by subverting the legal system and prison rules with the help of his knowledge of technology and his abilities to con people.

    “Sukesh Chandrashekhar has created a web through his devious mechanism. He is a master conman and with technology, at his disposal, he could execute to perfection his plan,” the agency said. The ED said that it has been found that Sukesh and his wife Leena were running an organized crime syndicate with the aid and association of other associates, added in the syndicate from time to time.

    “That being inside the jail, he was threatening people to do what he wished or face consequences. The proceeds of crime were used to purchase cars, houses in Chennai, various luxury items, clothes, etc., and were utilized to open a salon for his wife, to give expensive gifts to celebrities, and to jail authorities to manage facilities in jail,” it said.

    It added that the investigation has also revealed that he had transferred funds abroad to various jurisdictions like Hong Kong and Dubai while being in custody in prison. “The investigation qua the amounts spent on the jail authorities and the money sent abroad is pending,” it said, adding that Chandrashekhar has admitted that he used mobile-based applications “hushed” and “crazy call” for voice modulation and purchased virtual numbers.

    It said that Chandrashekar had utilized proceeds of crime generated out of criminal activities related to the scheduled offence in the acquisition of residential property in Chennai, acquisition of various high-end vehicles, investment in saloon operated by her wife co-accused Leena Maria Paulose by the name “The Nail Artistry”, providing luxury gifts to the celebrities (actresses) and making expenses on behalf of them (celebrities), Air Travels by chartered flights and funds were given to jail authorities also to manage all facilities in jail.

    The probe agency named several TV and Bollywood personalities with whom the ‘conman’ has contacts and used to give them expensive gifts.

    The probe agency said that during interrogation it was revealed that “Sukesh was maintaining a personal office in Tihar Jail which was located above the office of Chandra’s office. It was a well-furnished office. Some officials in police uniform saluted these ladies while entering Tihar jail and these ladies were allowed to enter Tihar jail premises without an I-card”.

    “That in the present case Sukesh Chandrashekhar while in custody in prison impersonated Law secretary Anup Kumar and Home Secretary Ajay Bhalla and extorted an amount to the tune of Rs. 215 crores from the Aditi Singh (wife of former Fortis Healthcare promoter Shivinder Mohan Singh) as per quantification till date on the pretext of contribution to party funds. The extorted money was collected by Deepak Ramnani, who was introduced to Sukash by Sanjay Chandra (ex-promoter of Unitech group),” it said.

    The agency said that it was also revealed that one BMW car and one Innova car were maintained by Sukesh in Tihar jail premises for picking up and dropping the guests of Sukesh including these ladies at the gate of Tihar Jail.

    The agency said that apparently, the BMW car belonged to Chandrashekhar and Innova car belonged to Chandra’s and it was also revealed that Sukesh used to give cash and expensive gifts to these ladies (celebrities) in his office only which was located in Tihar Jail.

    “That in light of the above facts and circumstances, all mechanisms to plug the loopholes have been fixed in Tihar jail and strong measures have been taken against the conspiring officials, hence it would be in the interest of justice that the accused remains in Tihar Jail,” it said.

    It said that Chandrashekhar’s petition seeking his transfer to another prison is yet another ploy to repeat the same misdemeanors in another jail facility and exploit the loopholes where the jail authorities are not familiar with his innovative methods of con-manship.

    The agency said that Tihar Jail has ensured that it would thwart any future possibility of misuse of jail facilities but for any new prison to put in place similar measures of even to come to terms with the sophisticated means of con-manship by Chandrashekar will take time and transferring them to any other prison would be hazardous as he is likely to repeat the same mischief and offences from within the jail as he has done on repeat occasions in the past.

  • Traffic affected on several roads in central Delhi

    By PTI

    NEW DELHI: Vehicular movement was affected in central Delhi on Wednesday after the police blocked several roads and diverted traffic as Congress leader Rahul Gandhi appeared before the Enforcement Directorate for the third consecutive day of questioning in a money laundering probe, officials said.

    The police diverted traffic on roads which had been closed and adequate security arrangements were also put in place, they said.

    A senior police officer said around 400 traffic personnel were deputed in the New Delhi district.

    “No call has been received about any congestion in the New Delhi district. The traffic is being managed smoothly. The diversions have been made on roads which have been closed,” the officer said.

    In a series of tweets, the traffic department mentioned the routes to be avoided and said necessary arrangements have been made as a precautionary measure.

    “On 15.6.22, kindly avoid Motilal Nehru Marg, Akbar Road, Janpath & Man Singh Road between 0700 hrs & 1200 hrs. Due to special arrangements traffic movement will not be possible on these roads,” the Delhi Traffic Police tweeted.

    In another tweet, it said, “On 15.6.22, pls avoid Gol Methi junction, Tughlak Road Junction, Claridges Junction, Q-point Junction, Sunehri Masjid Junction, Maulana Azad Road Junction & Man Singh Road Junction between 0700 hrs & 1200 hrs. Due to spl arrangements there will be heavy traffic movement here.”

    The department also asked commuters to avoid SP Marg, Dhaula Kuan flyover and Gurgaon road between 2.15 pm and 2.45 pm due to special traffic arrangements. It said the special traffic arrangement would restrict the inward movement of buses in New Delhi beyond Gol Dak Khana junction, Patel Chowk, Windsor Place, Teen Murti Chowk and Prithviraj Road.

    Gandhi was questioned by the ED for over 10 hours on Monday in a money laundering probe linked to the National Herald newspaper. The probe pertains to alleged financial irregularities in the party-promoted Young Indian that owns the National Herald newspaper.

    The National Herald is published by the Associated Journals Limited (AJL) and owned by Young Indian Pvt Limited.

  • Rahul questioned for 2nd day in National Herald money-laundering case; leaves ED office after 4 hrs

    By PTI

    NEW DELHI: Congress leader Rahul Gandhi left the ED office after about four hours of questioning in the National Herald money-laundering case on Tuesday.

    It was not immediately clear if he would come back and resume the session or the questioning was over for the day.

    Gandhi (51) arrived at the Enforcement Directorate (ED) headquarters on APJ Abdul Kalam Road in central Delhi around 11:05 am, accompanied by his sister and Congress general secretary Priyanka Gandhi Vadra, and his statement was recorded under the criminal sections of the Prevention of Money Laundering Act (PMLA), officials said.

    The MP from Wayanad in Kerala spent over 10 hours at the federal agency’s office on Monday, where he was questioned over multiple sessions and his statement was recorded.

    The investigating officer of the case is understood to have questioned the former Congress chief about the incorporation of the Young Indian company, the operations of the National Herald newspaper, the loan given by the Congress to Associated Journals Limited (AJL) and the funds transfer within the news media establishment.