Mumbai: The Enforcement Directorate (ED) sent a second summon to Maharashtra NCP president & MLA Jayant Patil on Monday. ED has asked him to appear before the agency on May 22, in connection with the alleged IL&FS scam.
Patil was summoned by the ED on Thursday last week in connection with the Infrastructure Leasing & Financial Services (IL&FS) money laundering case. Patil, who is also the Maharashtra NCP chief, was asked to appear before the agency on Friday. The ED wass likely to record his statement in connection with the case at their office located in Ballard Estate, South Mumbai. However, the NCP leader skipped visiting ED office due to his family functions.
Searches carried out on two former auditor firms of IL&FS
On Wednesday last week, the ED conducted searches against two former auditor firms of IL&FS, BSR and Associates, and Deloitte Haskins and Sells, in connection with its money laundering probe into alleged financial irregularities at the infrastructure development and finance company.
The premises linked to the two auditors in Mumbai were searched under the provisions of the Prevention of Money Laundering Act. Some employees of the two companies were also questioned by the officials during the searches, and documents were seized.
Supreme Court's verdict allows action against former auditors
The Supreme Court recently set aside a Bombay High Court verdict that quashed a probe by the Serious Fraud Investigation Office (SFIO) against the two companies.
This has paved the way for action against BSR and Associates and Deloitte Haskins and Sells under the Companies Act and allows the National Company Law Tribunal (NCLT) to take forward its enquiry against them. The SFIO is an agency under the Ministry of Corporate Affairs that investigates and prosecutes white-collar crimes and frauds.
Background of the IL&FS money laundering case
IL&FS filed for bankruptcy in 2018. The money laundering probe into alleged financial irregularities at IL&FS was launched by the ED in 2019 after the federal agency took cognizance of a Delhi Police Economic Offences Wing (EOW) FIR filed against IRL, ITNL (group companies of IL&FS), its officials, and others.
The ED also took cognizance of a complaint filed by the SFIO against IL&FS Financial Services (IFIN) and its officials. The agency had previously attached assets of various entities in this case.
