Enforcement Directorate (ED)
Enforcement Directorate (ED)
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The Enforcement Directorate (ED) has transferred attached assets worth Rs 8,441.5 crore to public sector banks that had suffered losses because of the frauds perpetrated by fugitive economic offenders Vijay Mallya Nirav, Modi and Mehul Choksi.

According to the ED, Mallya, Modi and Choksi had defrauded PSBs by siphoning off the funds through their companies, which had resulted in a total loss of Rs 22,585.83 crore to the banks.

After an FIR was registered by the Central Bureau of Investigation (CBI), the ED had acted swiftly, unearthing a web of domestic and international transactions and the stashing of assets abroad. Investigation has also irrevocably proved that the three accused used dummy entities controlled by them for rotation and siphoning off the funds provided by the banks.

The ED had also taken immediate steps to attach and seize assets worth Rs 18,170.02 crore, which included assets valued at Rs 969 crore located abroad. The quantum of the attached and seized assets represents 80.45 per cent of the total bank loss of Rs 22,585.83 crore.

The investigation by the ED has proved that a substantial part of these assets were held in the names of dummy entities or trusts or third persons or relatives of these accused and these entities were proxies of these accused to hold these assets.

“Prosecution complaints have been filed against all the three accused after completion of the PMLA investigation. Extradition requests for these persons have been sent to the UK, Antigua and Barbuda. The extradition of Vijay Mallya has been ordered by the Westminster Magistrate’s Court and confirmed by the UK high court. Since Vijay Mallya has been denied permission to file an appeal in the UK Supreme Court, his extradition to India has become final,” said an ED officer.

Further, the official said, “The Westminster Magistrate’s Court has ordered the extradition of Nirav Modi to India. Nirav Modi has been in London Jail for the last two years and three months on the basis of an extradition request by India. Nirav Modi and Vijay Mallya have also been declared Fugitive Economic Offenders by PMLA Court in Mumbai.”

Recently, the ED had transferred shares worth approximately Rs 6,600 crore that it had attached, to an SBI-led consortium of banks, as per the order of the PMLA Special Court, Mumbai. “As of today, DRT on behalf of SBI led consortium, has sold shares of United Breweries Limited for Rs 5824.50 crore. Further realisation of Rs 800 crore by sale of shares is expected by June 25. Due to the cooperation and help extended by ED, Public Sector Banks have already recovered Rs 1357 crore by selling the shares earlier. Thus, the banks shall be realising a total amount of Rs 9041.5 Crore through sale of a part of assets attached and seized by ED under the provisions of PMLA. As on date, out of total attached/ seized assets of Rs. 18,170.02 crore under provisions of PMLA, assets worth of Rs 329.67 crore have been confiscated and assets worth Rs 9041.5 crore, representing 40% of total loss to the bank have been handed over to the Public Sector banks,” an ED statement said.

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