Enforcement Directorate raids jewellery co promoters in Kolkata
TNN | Updated: Feb 1, 2019, 08:32 IST
Representative imageKOLKATA: The Enforcement Directorate on Thursday conducted searches at 10 premises here in connection with an alleged bank fraud by a jewellery group’s promoters.
The company’s owner, who was arrested by Directorate of Revenue Intelligence in June last year, allegedly defrauded banks of more than Rs 2,600 crore.
According to sources, the jewellery company defrauded a consortium of 25 banks in the country and siphoned off the money through its Indian and overseas associates in Dubai, Singapore and Hong Kong. The fraud was perpetrated by availing credit facilities from banks under the garb of jewellery exports, they added.
On Thursday, ED sealed four premises and seized several documents, including property papers, bank account details and cash books. Fixed deposits valued in crores too were seized. Imported cars and bikes were up next, ED officials indicated. Two brothers of the promoter were involved in the money laundering, they added.
Prior to the DRI arrest, the jeweller was arrested by CBI in 2017 from the Mumbai airport upon his return from Dubai. He had fled India after the CBI registered a case against him in 2016.
The company was on an acquisition spree during 2011-12, when it brought two foreign jewellery brands. While one of the brands was Italian, the other one was based out of UAE. Investigators said that the company used these foreign companies to hoodwink its illegal transactions. Central agency sources said that the company imported around 36,00 kg gold free of any duty between 2005 and 2015 and exported much less than that. The jeweller continued with such operations till the agencies cracked down on his companies.
The company’s owner, who was arrested by Directorate of Revenue Intelligence in June last year, allegedly defrauded banks of more than Rs 2,600 crore.
According to sources, the jewellery company defrauded a consortium of 25 banks in the country and siphoned off the money through its Indian and overseas associates in Dubai, Singapore and Hong Kong. The fraud was perpetrated by availing credit facilities from banks under the garb of jewellery exports, they added.
On Thursday, ED sealed four premises and seized several documents, including property papers, bank account details and cash books. Fixed deposits valued in crores too were seized. Imported cars and bikes were up next, ED officials indicated. Two brothers of the promoter were involved in the money laundering, they added.
Prior to the DRI arrest, the jeweller was arrested by CBI in 2017 from the Mumbai airport upon his return from Dubai. He had fled India after the CBI registered a case against him in 2016.
The company was on an acquisition spree during 2011-12, when it brought two foreign jewellery brands. While one of the brands was Italian, the other one was based out of UAE. Investigators said that the company used these foreign companies to hoodwink its illegal transactions. Central agency sources said that the company imported around 36,00 kg gold free of any duty between 2005 and 2015 and exported much less than that. The jeweller continued with such operations till the agencies cracked down on his companies.
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