Chandigarh, Sep 29 (IANS) : The Directorate of Enforcement’s (ED) Chandigarh Zonal Office II has conducted search operations at 14 premises across Chandigarh, Mohali and Panchkula in connection with its money laundering investigation into the embezzlement of Rs 645 crore of public funds belonging to the Haryana government, the Chandigarh Municipal Corporation and other government accounts.
The ED initiated investigation under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, on the basis of a First Information Report (FIR) registered by the Haryana Police in February, concerning discrepancies in balances of bank accounts of the Development and Panchayat Department of Haryana, maintained with IDFC First Bank and AU Small Finance Bank.
The searches covered various jewellers and their associated entities, including Malik Jewellers, KLG Jewels and its associate entities, M.B. Gold Traders, Sham Jewellers and Sunder Jewellers, besides Gourav Kansal who allegedly acted as a middleman in routing and layering the proceeds of crime.
The investigation has revealed that the allegedly embezzled public funds were routed and layered through the bank accounts of various jewellers and projected as business transactions.
These transactions were allegedly carried out in connivance with the accused to conceal and project the proceeds of crime as legitimate funds.
The investigation has further revealed that the jewellers were allegedly involved in laundering the proceeds of crime generated from the bank accounts of various departments of Haryana and the Chandigarh administration.
The proceeds of crime are also alleged to have been laundered by jewellers which allegedly reached accused IAS officers and other government servants involved in the IDFC First Bank fraud.
The CBI has filed a third chargesheet before the Special Court in Panchkula, naming six Haryana-cadre IAS officers and other government servants in connection with the fraud.
Earlier, the ED had arrested four accused for their alleged involvement in the offence of money laundering.
The agency has also attached, seized and frozen movable and immovable assets of approximately Rs 211 crore in connection with the investigation.
The ED has further filed a prosecution complaint against 14 accused in the Special Court of PMLA in Panchkula.
The latest searches have resulted in the recovery of further evidence relating to the routing, layering, concealment and projection of proceeds of crime through various entities and bank accounts.
