The Enforcement Directorate (ED) on Friday provisionally attached immovable and movable assets worth Rs 365.94 crores of Adarsh Group of Companies and others under the Prevention of Money Laundering (PMLA) Act in an alleged cheating case.
As per the official release, the attached assets are in the form of agricultural, residential, commercial land parcels situated at Rajasthan, Haryana and New Delhi and fixed deposits or balances in savings bank accounts.
ED initiated the investigation on the basis of an FIR registered by Special Operation Group, Rajasthan Police against Mukesh Modi, Rahul Modi and others of Adarsh Group, officials of Adarsh Credit Cooperative Society Ltd (ACCSL) and other private persons.
During the money laundering investigation, the agency found that Mukesh Modi in collusion with his relatives Virendra Modi, Rahul Modi, Rohit Modi and associates including society's officials, siphoned off depositors' funds from ACCSL by way of interlinked fraudulent transactions.
The agency further said that Mukesh Modi, his relatives and associates incorporated several companies/firms/LLPs for the sole purpose of diverting funds from ACCSL to their Real Estate business by way of availing fraudulent loans. He also infused huge proceeds of crime in these companies as share capital from ACCSL.
"Further, a huge amount was diverted and siphoned off by means of exaggerated salaries, incentives and commissions to its own kin and companies/firms. The actions of Mukesh Modi and others caused the society a huge loss and deprived two million investors of their life savings," the ED said.
Earlier, the ED had attached properties worth Rs 1,489.03 crore across six states.
"The attachment was confirmed by Adjudicating Authority (PMLA), New Delhi. Thereafter, possession of the confirmed attached properties was taken in July and August of 2020. Subsequently, a Prosecution Complaint was filed before the Special Court under PMLA Act on March 31, 2021, pleading for confiscation of these properties alongside launching of prosecution against 124 accused persons.
"Based on the outcome of the investigation conducted by ED so far, total Proceeds of Crime (POC) unearthed is to the tune of Rs 3,830 crore, out of which ED has provisionally attached movable and immovable assets valued at Rs 1,854.97 crore of Adarsh Group of companies/firms/LLPs, Riddhi Siddhi Group of companies/firms/AOPs, Virendra Modi group of companies/firms/individuals and others till now," it added.
Further investigation is in progress.