A city court today rejected the bail prayer of Rose Valley Group chairman Gautam Kundu, facing the charge of money laundering, and extended his judicial remand till May 19.
Acting Chief Judge at Bankshall Court Gopal Karmakar rejected the bail plea of Kundu whose counsel claimed that Enforcement Directorate(ED) had charged him without jurisdiction.
They claimed that Kundu was charged under sections of Prevention of Money Laundering Act (PMLA) that came into force in 2009 for acts allegedly committed between 2001 and 2008.
ED, which had arrested Kundu under PMLA, submitted that investigation was initiated after SEBI filed a complaint in 2013 on debenture schemes of Rose Valley.
The ED counsel stated that investigation found that these were not in conformity with law and that it was a case of money laundering in debenture scheme.
After hearing both the parties, the judge rejected the bail prayer of Kundu.
