New Delhi: The Enforcement Directorate has attached immovable and movable properties with a collective market value of Rs. 130 crore of Rose Valley Group of Companies under Prevention of Money Laundering Act, 2002 (PMLA).
Rose Valley Group of Companies are under investigation under the provisions of PMLA for alleged laundering of funds received from the public by way of cheating the common people and routing the money through a complex maze of a huge number of companies and accounts under the guise of loans and advances.
The Rose Valley Group, masterminded by their Chairman Gautam Kundu, allegedly collected deposits from common people over Rs. 17500 crore illegally under the hoax of a false promise of exorbitant return on maturity without complying the guidelines of Reserve Bank of India (RBI) and Security Exchange Board of India (SEBI).
The SEBI already held that the collection made by the Rose Valley Group of Companies was illegal. They have adjudicated the matter and have also filed a prosecution complaint against them. The Rose Valley group has made repayment of Rs. 10857 crore to the investors including interest of Rs. 2430 crore while around Rs, 9000 crore are still lying outstanding.
The Group was allegedly not running any profitable business or not having any other operational activities to generate revenue and all the expenditures incurred by them were allegedly from the sole source of fraudulently collected public money.
The refunds made against maturity of deposits were from the subsequent collection of the fund which caused the companies to run in the huge loss. The net worth and reserve and surplus of the company were depleted considerably.
Following an investigation under PMLA, the Chairman of Rose Valley Group of Companies was arrested by the Enforcement Directorate on March 25, 2015, and is still in judicial custody. His bail petition has been rejected by the apex court.
During the course of the investigation, properties having a market value of more than Rs. 4200 crore have already been attached under three Provisional Attachment Orders dated February 2, 2016, July 28, 2017, and March 28, 2018, which have been subsequently confirmed by the Adjudicating Authority (PMLA), New Delhi.
A reserve of gold, diamond and jewellery items worth Rs, 41.07 crore was also seized from three showrooms of M/s. Adrija Gold Corporation Ltd, which is a Rose Valley Group company, and has also been confirmed by the Adjudicating Authority (PMLA), in New Delhi.
A prosecution complaint in terms of Section 45 of PMLA has been submitted before the designated PMLA court, Kolkata against the Rose Valley Group, its Chairman, Managing Director Shibamoy Dutta.
Following sustained efforts, Enforcement Directorate was able to further identify and trace immovable and movable properties having a collective market value of Rs. 130 crore which was attached today. The total market value of properties attached till date is Rs. 4400 crore.
A further investigation is in progress.