The Enforcement Directorate on Friday arrested Nijamudin Sathak, a jeweller, for allegedly helping preacher Zakir Naik in the laundering of funds. The agency has identified assets worth more than ₹193 crore in connection with the case.
“Sathak was arrested in Mumbai for actively assisting Naik in the laundering and transfer of funds of dubious origins from the UAE,” said an official.
Mr. Sathak was a director of Global Broadcasting Corporation FZE LLC, which owned the Peace TV channel. The channel broadcast the alleged communal and inflammatory speeches of Zakir Naik from the UAE for West Asia and Africa. He also exported the videos to the United Kingdom to be uploaded for the channel, according to the agency.
ED probe revealed that the company was controlled by Naik through Mr. Sathak. The contents for the channel were produced in India by Harmony Media Private Limited in Mumbai, which was also allegedly controlled by the preacher through his sister Nailah Noorani and close associate Aamir Gazdar as directors. The funds required for production of the contents was routed through Global Broadcasting, as alleged.
“An amount of ₹79 crore was received from Global Broadcasting by Harmony Media. The funds are of suspicious origin as the channel did not receive any advertisements,” the official said.
The agency alleges that Naik used the Islamic Research Foundation to raise ₹64.86 crore in donations from India, UAE, Saudi Arabia, Bahrain, Kuwait, Oman and other countries between 2003 and 2017. A part of the funds was used in buying a property for ₹6.20 crore while ₹9.41 crore was invested in mutual funds. They have been attached under the Prevention of Money Laundering Act.
It is alleged that Naik had also received ₹49.20 crore in his bank account from unknown sources in Dubai. The money was used to book more than two dozen flats in Mumbai and Pune, in the name of his wife, son, sister and parents. “Properties worth ₹50.49 crore have already been attached. A charge sheet in the case will be filed soon,” the official said.