ED raids offices of bogus firms that transferred Rs 69 crores to Zaveri Bazaar traders
The Enforcement Directorate (ED) raided the premises of six bogus companies that were used to transfer Rs 69 crores into accounts of bullion traders post demonetisation. The raids were carried out on Friday evening and Saturday morning.
During investigation, it was discovered that undisclosed amount of Rs 69 crores had been transferred to the accounts of four bullion traders since December 9, when Prime Minister Narendra Modi announced the demonetisation of Rs 500 & 1000 notes.
The money was transferred into their accounts by these bogus companies against the purchase of gold and silver.
According to an ABP report, the raids were conducted on the basis of the information received by ED, which claimed four bullion traders in Mumbai were illegally converting crores in black money into white.
Based on the information, ED Director Karnal Singh instructed the Mumbai unit to form a team and raid four companies simultaneously on Friday evening.
The ED is now on the lookout for the owner of these companies who, along with bank officials, helped launder money for the traders. Meanwhile, they have frozen Rs 1.2 crore lying in their bank accounts.
Following the raid on these companies, the ED also conducted raids at Mumbai’s Zaveri Bazaar on Saturday morning.
ED officials suspect that these companies were floated by the traders themselves with the sole purpose of converting black money into white.
The authorities are also concerned about the involvement of bank employees, who have been laundering cash for black money hoarders since demonetisation decision was announced.
Earlier today, ED filed a case under the Prevention of Money Laundering Act against unknown persons for forging accounts in the Noida Sector 51 branch of Axis Bank. Two Axis Bank managers have already been arrested in connection with the case.