Chennai, September 18 (IANS) Enforcement Directorate (ED) on Thursday launched extensive discoveries in connection with a money laundering investigation in Chennai and Hyderabad regarding a Rs 200 crore bank fraud and benami property deal, which was connected to VK Sasikala, who was a confidant of the late Tamil Nadu Minister Jayalalit.
Officials confirmed that the discoveries covered at least ten places in both cities.
According to the source, the complex is associated with a businessman, known as Sasikala’s alleged benami. The raid was organized under the provisions of prevention of Money Laundering Act (PMLA).
The investigation stems from a case registered by the Central Bureau of Investigation (CBI), which had previously described as a fraud -fraud banking transaction in hundreds of crores.
Acting on this, the ED launched its own money laundering check to detect the flow of money and identify the properties obtained in the name of illegal means or by benami holders.
Sources said that officials are seizing documents, financial records, property karma and electronic evidence from the locations discovered. These materials will be investigated to establish a relationship between bank fraud and assets.
While the limit of seizures is not yet clear, the authorities indicated that the entire scale of transactions related to the case was to detect the raid.
The action once again puts Sasikala in the headlines. For decades, a prominent player in Tamil Nadu politics, he has previously faced allegations and legal battles on uneven property.
The current step of the ED revives the investigation into its financial network, especially doubt to act as fronts through colleagues and business institutions.
Investigators are likely to expand the investigation based on the findings from the ongoing discoveries. If the evidence of laundering or concecription is confirmed, the assets can be provided provisionally under the PMLA, and further allegations can be followed.
The raids have attracted political attention, as well as observers noted that the time and operation scale focused a renewed focus on high-profile economic crimes in Tamil Nadu.
,
Aal/DPB