The Enforcement Directorate raided the Subhash Chandra-led Essel Group of companies in Mumbai on Wednesday in connection with an ongoing investigation linked to an alleged money laundering case. The ED is investigating the alleged diversion of funds worth over ₹150 crore from Religare Finvest Ltd (RFL).
Raids were conducted on the premises of the Group's companies—M/s Konti Infrapower & Multiventures Pvt Ltd, M/s Edison Infrapower & Multiventures Pvt Ltd, M/s Asian Satellite Broadcast Ltd, M/s Widescreen Holdings Pvt Ltd, M/s Jayneer Capital Pvt Ltd, Spirit Infrapower & Multiventures Pvt Ltd, M/s Jayneer Capital Pvt Ltd, Sprit Infrapower & Multiventures Pvt Ltd, and the residential premises of a senior official of the Essel Group.
During the search, several incriminating documents were recovered. "The search has resulted in the recovery of incriminating documents and the recording of spot statements of the officials of the companies under the provisions of PMLA, 2002," the ED said in a statement.
The ED initiated an investigation based on an FIR registered by the Economic Offences Wing (EOW) of the Delhi Police, wherein Religare Finvest Ltd (RFL) had alleged that the four companies had hatched a criminal conspiracy to cause wrongful loss to the RFL by defaulting on a loan of ₹150 crore.
The said loan of ₹150 crore was given in March 2014 to the group companies of Essel, viz. ₹50 crore to M/s Konti Infrapower & Multiventures Pvt. Ltd; ₹40 crore to Widescreen Holdings Pvt Ltd; ₹50 crore to M/s Edison Infrapower & Multiventures Pvt Ltd, and ₹10 crore to M/s Asian Satellite Broadcast Pvt Ltd.
Based on the investigation, the ED alleged that the loan was defaulted upon by the companies by way of executing a fraudulent settlement agreement in January 2018 in connivance with the erstwhile management and officials of RFL and an entity named M/s Oscar Investments Ltd. On January 5, Essel's Delhi premises were raided by the ED.
