ED Attaches Property Worth Rs 4.33 Crore in Axis Bank Fraud Case in Lucknow
The Directorate of Enforcement (ED) in Lucknow has provisionally attached a residential plot valued at Rs 4.33 Crore under the Prevention of Money Laundering Act (PMLA), 2002. The property, located in Rosewood City, Gurgaon, is owned by M/s J.R. Sood and Co. Pvt. Ltd., which is connected to the Axis Bank fraud case.
According to an official statement, the ED began its investigation based on an FIR filed by Gautam Buddh Nagar Police. The FIR alleged that unknown individuals forged documents and identities to open bank accounts and deposit demonetised bank notes. These notes were then transferred to their actual entities through multiple layers of transactions.
The investigation uncovered that 23 bank accounts belonging to 23 shell companies were used to deposit demonetised currency worth Rs 52 Crore. This money was layered and routed multiple times to disguise it as legitimate business transactions. M/s J.R. Sood and Co. Pvt. Ltd. was identified as one of the ultimate beneficiaries of the deposited money.
The ED has attached property worth Rs 4.33 Crore in the form of a residential plot belonging to M/s J.R. Sood and Co. Pvt. Ltd. Further investigation is ongoing.
Doubts Revealed
ED -: ED stands for the Directorate of Enforcement. It is a government agency in India that investigates financial crimes like money laundering.
Rs 4.33 Crore -: Rs 4.33 Crore means 4.33 crore rupees. A crore is a unit in the Indian numbering system equal to ten million (10,000,000). So, 4.33 crore is 43,300,000 rupees.
Axis Bank -: Axis Bank is one of the largest private sector banks in India. It provides various financial services like savings accounts, loans, and more.
Lucknow -: Lucknow is the capital city of the Indian state of Uttar Pradesh. It is known for its rich history and culture.
Rosewood City -: Rosewood City is a residential area in Gurgaon, which is a city near Delhi, the capital of India.
Gurgaon -: Gurgaon, now known as Gurugram, is a city in the Indian state of Haryana. It is a major financial and technology hub.
Prevention of Money Laundering Act -: The Prevention of Money Laundering Act is a law in India that aims to prevent money laundering and to provide for the confiscation of property derived from money laundering.
M/s J.R. Sood and Co. Pvt. Ltd. -: M/s J.R. Sood and Co. Pvt. Ltd. is a private company involved in the Axis Bank fraud case. ‘M/s’ stands for ‘Messrs,’ a title used before the name of a company.
Shell companies -: Shell companies are businesses that exist only on paper and have no office or employees. They are often used to hide money or avoid taxes.
Demonetised currency -: Demonetised currency refers to money that is no longer legal tender. In 2016, the Indian government demonetised Rs 500 and Rs 1000 notes to fight black money.
Layered through multiple transactions -: Layered through multiple transactions means that the money was moved around many times to make it hard to trace where it originally came from.
