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DeMo: ED files fresh charge sheet in Patna; seeks confiscation of assets of accused

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Press Trust of India New Delhi
Last Updated : May 02 2020 | 3:54 PM IST

The Enforcement Directorate has field a fresh charge sheet in a money laundering case linked to the alleged misuse of the 2016 demonetisation scheme, the agency said.

In the same charge sheet, the ED has also sought permission and moved a Patna court for confiscation of over Rs 8 crore worth assets, including a factory and an office premise. The assets belong to the accused involved in the case.

It said a supplementary prosecution complaint (charge sheet) has been filed against accused Rajan S Shah of V S Healthcare Mumbai and 11 others early this week before a special PMLA court in Patna, Bihar after some new facts came to light.

The ED case, filed under criminal provision of the Prevention of Money Laundering Act (PMLA), is against a Gaya-based businessman, Motilal, promoter ofMTI Cotton Mills Pvt Ltd, and others linked to him.

He has been chargesheeted by the agency earlier and is in judicial custody at present.

The businessman has been accused by the agency of being hand in glove with Bank of India (GB Road branch in Gaya district) for laundering illegal funds post the demonetisation declared by the central government on November 8, 2016.

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The accused made illegal cash deposits worth Rs 44.79 crore in various bank accounts, the Enforcement Directorate (ED) alleged.

"Some of these cash deposits were fraudulently transferred to the bank accounts of different entities without the knowledge or consent of the account holders," it said.

The state police had filed an FIR against the accused and others in December, 2016, which became the basis for the ED's PMLA case.

The ED alleged that during the demonetisation period, Motilal "illegally deposited the cash in 17 accounts held in his name, in the name of his firm, relatives and friends and five other accounts in the name of complainants Rajesh Kumar, Shashi Kumar, their firms and relatives".

"These cash amounts were handed over to him by Dhiraj Jain, a businessman of Gaya, and Delhi businessman Bimal Jain."

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First Published: May 02 2020 | 3:54 PM IST

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