Kolkata, Sep 23 (IANS) The Enforcement Directorate (ED) on Wednesday carried out simultaneous raids and search operations at 16 locations across Kolkata, Delhi and Bengaluru in connection with a multi-crore money laundering case linked to alleged financial irregularities, foreign exchange violations and the acquisition of a corporate entity.
The ED officials have been conducting raids and search operations at two locations in Kolkata since Wednesday morning.
Sources said the central agency conducted searches at two locations in Kolkata, including the residences of directors of two corporate entities in Ballygunge and New Alipore in south Kolkata. Investigators are examining bank accounts and corporate records as part of the probe.
According to sources, the case involves allegations of large-scale financial irregularities, fraud in the name of foreign exchange transactions, and laundering of substantial amounts of money. Based on these inputs, ED teams launched coordinated searches across multiple cities.
Sources said the searches are linked to suspected contraventions of the Foreign Exchange Management Act (FEMA) and alleged irregularities in the utilisation and movement of funds used for acquiring control of McNally Bharat Engineering Company Ltd (MBECL).
The premises being searched are reportedly associated with entities and individuals connected to MBECL and its acquisition process, including several private companies.
The agency is also examining whether the insolvency resolution process may have been used to facilitate the indirect regaining of control of the company by persons who could potentially be ineligible under Section 29A of the Insolvency and Bankruptcy Code, 2016.
Search and seizure operations were underway at the time of filing this report.
Besides Kolkata, similar raids and search operations are being conducted in Delhi and Bangalore by separate teams of ED officials. In total, 16 locations are being raided by the central agency officials.
–IANS
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