The Enforcement Directorate (ED) on Friday attached the assets worth Rs 3.10 crore of a private company under the Prevention of Money Laundering Act (PMLA) here.
According to the agency, the action was initiated on the basis of an FIR and charge-sheet filed by the Central Bureau of Investigation (CBI) against Bengaluru based Devas Multimedia Pvt Ltd (DMPL) and others for illegally entering into an agreement with Antrix Corporation Ltd (ACL), a commercial arm of the Indian Space Research Organisation (ISRO), by collecting investments from abroad through criminal conspiracy.
"The company had fraudulently made a claim that it had the ownership and intellectual property rights to use the technology for delivering multimedia services and entered into an agreement with ACL for providing multimedia services in India and raised foreign investments," ED said in a statement.
During the investigation, it came to light that the agreement was illegal as the company didn't have any technology or ownership of intellectual property rights to deliver the multimedia services.
"DMPL never did any major business in India other than providing Internet Services to about 20 -25 Customers in Bangalore. However, nearly 85 per cent of the foreign investment raised was siphoned off out of India in the guise of investment/services/fee," ED added.
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