NEW DELHI: The Enforcement Directorate has arrested an individual in reference to a cash laundering case linked to an alleged Rs 750 crore financial institution mortgage fraud dedicated by misusing credit score amenities, the central probe company mentioned on Saturday.
It mentioned Sai Chandrasekhar was arrested underneath the Prevention of Cash Laundering Act on Friday following which an area courtroom right here despatched him to seven days ED custody.
The cash laundering case towards Chandrasekhar pertains to a probe initiated by the company towards Virkaran Awasty, Vinod Sirohi and KPMG India Pvt Ltd, it mentioned in an announcement.
The PMLA case was filed towards them after finding out an FIR registered by the financial offences wing (EOW) of the Delhi Police on the idea of a criticism obtained from Hassad Netherlands BV.
Hassad Netherlands BV, a subsidiary of Hassad Meals Firm, was “induced” by Virkaran Awasty and Ritika Awasty, Administrators of Bush Meals Abroad Pvt Ltd, to half with funds amounting to USD 120 million (about Rs 750 crore) by misrepresenting the extent of shares/stock, the ED alleged.
“On the idea of such misrepresentations, the accused individuals induced Hassad Netherlands BV to supply company assure for the excellent quantity of Rs 714 crore of credit score amenities availed from consortium of banks.
“Credit score amenities have been availed by Bush Meals Abroad Pvt Ltd on the idea of non-existent shares and stock,” the company claimed.
Probe discovered, it mentioned, Virkaran Awasty together with different administrators created bogus shares by inflating the stock and fabricating monetary statements of the corporate.
“Bulk transactions of gross sales and purchases have been generated in order that Bush Meals might report elevated turnover, revenue margins and extra inventory by producing roughly equal worth of gross sales and purchases in a 12 months. Synthetic revenue and synthetic inventory within the guide worth of stock was recorded within the books by displaying these bulk gross sales as home gross sales,” it alleged.
Chandrasekhar, it mentioned, was an worker of Hassad Meals Firm and was a part of workforce which evaluated the transactions.
The company charged that Chandrasekhar “colluded and conspired” with Virkaran Awasty to “cheat” Hassad Netherlands.
“Chandrasekhar had a pivotal function and accountability within the enterprise transactions between Bush Meals Abroad Pvt Ltd and Hassad Netherlands BV. He additionally had a key function in negotiations, dialogue and due diligence carried out by Hassad on Bush Meals,” it mentioned.
Chandrasekhar was paid “unlawful gratification” of Rs 20.79 crore by Virkaran Awasty for manipulating the due diligence train in favour of Bush Meals Pvt Ltd regardless of understanding that the credentials of the corporate weren’t real, the ED alleged.
“Chandrasekhar acquired a property positioned at Indiranagar space of Bengaluru price Rs 5.eight crore for which quantity was transferred by Virkaran Awasty from his firm V&R Abroad. He additionally obtained Rs 1 crore proceeds of crime within the account of his father and mom from Virkaran Awasty which was spent for medical remedy of his father,” it mentioned.
Chandrasekhar additionally received Rs 13.79 crore from Virkaran Awasty in his Dubai-based firm Harin Ventures Restricted, it mentioned.
The company mentioned it has hooked up Chandrasekhar’s belongings in Bengaluru and Mumbai and financial institution balances price Rs 7 crore previously.