Mumbai: The special PMLA court has refused to discharge smuggler-turned-film producer Ajit Satam from a money laundering case linked to alleged smuggling of Red Sanders (red sandalwood) to Dubai.
The court observed that Satam himself admitted about the generation of proceeds of crime and its layering. As per the prosecution’s case, a major portion of Rs 40 crore profit, earned by Satam in cash, was brought into the banking channel through one Pramod Kumar, who through his companies/firms transferred the equivalent amount into his accounts with Cosmos Co-operative Bank Ltd in Dadar West, and an account with Ratnakar Co-operative Bank Ltd in Thane.”
Satam had approached the special court for discharge on the ground that the predicate offence is based on assumption and presumption. The defence claimed that the sandalwood was allegedly caught at Kolhapur before it was sent to its alleged destination, with no opportunity to generate the proceeds of crime.
The defence denied money laundering, saying that the Income-Tax commissioner allowed Satam’s appeal, accepting declaration of the income by him as legal. The Enforcement Directorate, however, objected to his discharge plea, citing Satam’s admittance of indulging in smuggling activities. The court, for its part, observed that the funds in the aforementioned accounts were used for purchase/ investment in properties/ projects and imported vehicles. The court noted Satam admitted receiving cheques and entries on receipt of cash.
