New Delhi: In an ongoing investigation under PMLA involving siphoning and diversion of loan funds by Bhushan Power & Steel Limited (BPSL), it was gathered that BPSL had engaged in clandestine clearances of finished goods from its Odisha Plant to its plants at Kolkata and Chandigarh.
As per information available so far, goods valued at Rs. 700 crore approx. had been cleared without payment of applicable taxes and duties and without issuance of any statutory invoice. It was also gathered that this practice which was resorted to by the erstwhile management of the company had continued even after initiation of CIRP and some irregularities on part of Resolution Professional Sh. M.K. Khandelwal were also revealed.
Searches at residential premises of the Resolution Professional situated at Gurgaon & Delhi and at the office of the Resolution Professional in Delhi along with residence of one of the former Directors of BPSL in Delhi were conducted. During these searches various incriminating documents, laptops, mobile phones, extracts and other valuables such as jewellery worth Rs.86 lakh were seized.
Incriminating documents indicating receipt of cash by Sh. M.K. Khandelwal while discharging duties of Resolution Professional/Interim Resolution Professional have also been seized. Huge cash payments to various individuals outside the books of accounts indicate siphoning & generation of cash from various concerns undergoing process of CIRP under NCLT.
Investigation under PMLA revealed that the accused persons namely promoters of M/s. Bhushan Power & Steel Limited (BPSL) Sanjay Singal& others illegally diverted huge amount of funds out of loans taken by BPSL from various banks. These funds were used for creation of assets (including equity investment in BPSL and movable/immovable properties in Delhi & London) in the name of companies controlled by Sanjay Singal. So far, the assets totalling to Rs. 4229.54 crores have been identified and provisionally attached under PMLA. Prosecution Complaint has also been filed against 25 accused under PMLA.
ED had initiated investigation under PMLA on the basis of FIR dated 05.04.2019 filed by CBI under sections 120-B r/w 420, 468, 471 & 477A of Indian Penal Code & Section 13(2) r/w 13(1)(d) of Prevention of Corruption Act, 1988 against BPSL, its promoter Sanjay Singal and others for a criminal conspiracy amongst themselves and with unknown public servants of banks and others to cheat Banks/ Financial Institutions/ Govt. exchequer.
