Alchemist Infra Realty Limited was accused of accumulating over ₹1,900 crore from traders by way of unauthorised means.
The Enforcement Directorate (ED) on Wednesday arrested former TMC MP and industrialist Okay.D. Singh in reference to a Ponzi rip-off case allegedly involving Alchemist Infra Realty Limited. The firm was accused of accumulating over ₹1,900 crore from traders by way of unauthorised means.
“Mr. Singh has been arrested in the Alchemist case,” mentioned a senior ED official, including that the cash laundering probe was initiated on the premise of a prosecution grievance filed by the Securities and Exchange Board of India in opposition to the corporate and its administrators in March 2016. Mr. Singh headed the Alchemist Group until 2012.
The ED had earlier summoned Mr. Singh for recording his assertion on a number of events. In January 2019, the company connected property price ₹239.29 crore in the identical case. The properties, moreover the stability in two financial institution accounts, had been situated in Chandigarh, Panchkula, Derabassi and SAS Nagar (Punjab) and Shimla.
According to the company, the proceeds of crime generated by the corporate had been laundered by way of an online of corporations. The funds collected from traders on the pretext of profitable schemes weren’t used for the acknowledged goal and transferred to the accounts of different group entities, which had been primarily paper corporations, it was alleged.
The ED had carried out searches on the premises of Mr. Singh in Delhi and Chandigarh in September 2019. The company seized ₹32 lakh and $10,000 in money throughout the train.