ED Raids in Mumbai, Surat, and Delhi Uncover Rs 38.57 Crore in Iceworth Reality LLP Investigation
The Enforcement Directorate (ED) conducted raids in Mumbai, Surat, and Delhi on July 31. These raids were part of an ongoing investigation into M/s Iceworth Reality LLP and other entities.
Seizures and Findings
During the raids, the ED seized diamonds, bank funds, demat account holdings, and cash worth approximately Rs 38.57 crore. Various incriminating documents and digital devices were also recovered.
Reason for Investigation
The investigation was initiated based on a complaint under the Securities and Exchange Board of India (SEBI) Act 1992. The case involves the manipulation of stock prices of Sunrise Asian Limited (SAL) by the company and other accused persons. These manipulations led to unlawful profits for several interconnected group entities, harming genuine investors.
Details of Manipulation
The investigation revealed that the increase in the price of SAL’s stock was not aligned with the company’s actual financial performance. Instead, it was due to manipulations by the group entities. The illegal profits were routed through various accounts, with some entities involved in diamond trading.
Doubts Revealed
ED -: ED stands for Enforcement Directorate. It is a government agency in India that investigates financial crimes like money laundering and fraud.
Raids -: Raids are sudden visits by police or other authorities to search a place for illegal activities or items.
Mumbai, Surat, and Delhi -: These are three big cities in India. Mumbai is in Maharashtra, Surat is in Gujarat, and Delhi is the capital of India.
Rs 38.57 Crore -: This is a large amount of money in Indian currency, Rupees. One crore is equal to 10 million rupees.
Iceworth Reality LLP -: This is the name of a company being investigated for financial wrongdoing.
Diamonds, bank funds, demat account holdings, and cash -: These are different types of valuable items and money that were found during the raids.
SEBI Act 1992 -: This is a law in India that helps regulate the stock market and protect investors. SEBI stands for Securities and Exchange Board of India.
Manipulation of stock prices -: This means illegally changing the prices of stocks to make unfair profits.
Sunrise Asian Limited (SAL) -: This is the name of a company whose stock prices were manipulated.
Genuine investors -: These are people who invest their money in stocks fairly and legally.
