New Delhi, March 14 The Enforcement Directorate (ED) is conducting raids at multiple locations in Chhattisgarh in connection with Rs 54 crore Prevention of Money Laundering case lodged against businessman Subhash Sharma.
A source close to the development said that the ED is rading eight places in Chhattisgarh. The officials are looking for incriminating documents related to the case.
Sharma was arrested on March 6 from Delhi's Indira Gandhi International Airport when he was about to board a flight. He is currently in ED's custody till March 15.
The ED initiated money laundering investigation on the basis of multiple FIRs registered by Chhattisgarh Police and the CBI against Sharma and others for fraudulently obtaining loans from various banks through companies owned and controlled by him.
The total Proceeds of Crime (POC) involved in the FIRs is around Rs 54 crore. Investigations by the ED revealed that during 2009 and 2014, the loans obtained fraudulently by the companies owned and controlled by Sharma were diverted and used for investment in non-intended businesses.
A part of the Proceeds of Crime was also utilized to purchase immovable properties in the name of shell entities.
Most of the companies of Sharma did not have any business activities and were created only for the purpose of routing of loan funds received to other companies.
The ED said that an order of attaching movable and immovable properties worth Rs 39.68 crore derived out of the Proceeds of Crime had been issued.
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