ED freezes Rs 2.93 crore bank deposits, seize Rs 23 lakh linked to road construction scam

Bhopal, June 21 (IANS) In a major crackdown against irregularities in road construction, the ED froze bank deposits worth Rs 2.93 crore and seized Rs 23.50 lakh in cash from various premises in Rewa and Jabalpur districts of Madhya Pradesh, an official said on Sunday.

The Directorate of Enforcement (ED), Bhopal Zonal Office, conducted the search operations on June 19 in connection with money laundering investigation related to submission of “fake bills related of Bitumen” in the “construction of roads” by government contractors.

During the searches, various incriminating records including the property documents, digital devices and cash amounting to Rs 23.50 lakh were seized. Bank balances and fixed deposits of Rs 2.93 crore were also recovered and frozen, said the statement.

The ED initiated investigation under PMLA, 2002 on the basis of various FIRs registered by the Economic Offence Wing of Madhya Pradesh Police, Rewa and Jabalpur under the various provisions of IPC 1860 and the provisions of Prevention of Corruption Act, 1988.

During the investigation, it was revealed that contractors in conspiracy with public servants/officials of MPRRDA (Madhya Pradesh Rural Road Development Authority) Project Implementation Units fraudulently obtained government payments for road construction asphalt/bitumen work by submitting forged and fabricated invoices.

The contractors allegedly forged Indian Oil Corporation Limited (IOCL), Bharat Petroleum corporation limited (BPCL) and Hindustan Petroleum corporation limited (HPCL) invoices to the tune of Rs 55.60 crore, causing a corresponding financial loss to the government exchequer, the ED said.

In a separate development, the ED, Bhopal Zonal Office on June 17 filed a Supplementary Prosecution Complaint under PMLA, 2002 against Sunil Kumar Tripathi and others before the Special Court (PMLA), Bhopal in a matter related to manufacturing of adulterated dairy products. The accused allegedly by substituting milk fat with palm oil and other harmful chemicals.

The Special Court has issued notices to the accused persons for appearance, the ED said.

The ED initiated investigation on the basis of FIRs registered by Police Station Habibganj, Bhopal and Economic Offences Wing (EOW), Bhopal under various Sections of IPC, 1860 against the Directors, officials and other persons associated with Jayshri Gayatri Food Products Pvt Ltd (JGFPL)

Earlier, the ED provisionally attached movable and immovable properties valued at Rs 23.59 crore in this case under the provisions of PMLA, 2002. The ED had arrested Kishan Modi, Managing Director of JGFPL, and Sunil Kumar Tripathi, former CEO of the company. under the provisions of PMLA, 2002. Both of them are currently under judicial custody.

–IANS

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