Imphal, Jan 8 (NationPress) In response to a petition lodged by 60 investors, the Special Judge operating under the Prevention of Money Laundering Act (PMLA), 2002, in Imphal, has sanctioned the auction of immovable properties owned by the Lamjingba Finance Group of Companies. The judge has mandated that the proceeds from the sale be returned to the claimants, as reported by sources from the Enforcement Directorate (ED) on Thursday.

According to sources from the central investigative agency, the case was initiated by one Wahengbam Pratap Singh along with 59 others, leading to the Special Judge’s order for the auction of properties and the direction for the proceeds to benefit the claimants.

The investors, who were victims of fraudulent activities by the Lamjingba Finance Group, filed the application seeking restitution from the proceeds of the auction of properties that were seized and attached by the ED.

The ED office in Imphal is a respondent in this case. The prosecution complaint indicated that the Lamjingba Group, led by the accused Sanasam Jacky Singh and others, was running a deceptive "investment/deposit scheme" that falsely promised high returns, thereby defrauding numerous unsuspecting investors.

Previously, on March 21, 2025, the Special Court (PMLA), Imphal East, ordered that notices be published in two newspapers—one in a local language and another in English—to invite claims from interested parties for the restoration of attached properties, as outlined in the Prevention of Money Laundering (Restoration of Property) Rules, 2016. This notice was subsequently published.

The Court acknowledged claims from approximately 4,391 claimants and depositors for the restoration of properties through auctioning.

Sanasam Jacky Singh, identified as the principal accused, serves as the Chairperson-cum-Managing Director of Lamjingba Finance Pvt. Ltd. and other entities within the group.

The ED's investigation, prompted by seven FIRs filed by the Manipur Police, led to the attachment of movable and immovable properties valued at around Rs 65 crore. A prosecution complaint was submitted on March 20, 2023, against Singh, the Lamjingba Group, and others.

A supplementary complaint was also filed on July 7, 2025, against the same parties. The ED has requested the confiscation of the attached properties. Charges have been laid against all nine accused as per the order dated March 30, 2024.

Moreover, on December 29, 2025, the Special Judge (PMLA) in Imphal East directed the auction of immovable properties owned by Singh, which includes a hotel and a residential flat located in Gurugram (Haryana), both of which were attached by the ED.

The Court has ordered that the auction proceeds, along with funds in Singh's ICICI Bank account and cash seized, be distributed among the claimants on a pro-rata basis, reflecting the losses each claimant suffered. A bond undertaking will be required to ensure the restoration of the properties when necessary.

Criteria for assessing claimants' losses will include any interest accrued. The court has also mandated the establishment of a committee to verify the claims and deposits of the applicants.

This committee will consist of court officials, ED representatives, claimant representatives, and other necessary stakeholders, and will ensure that the auction, claims verification, and restitution are conducted lawfully.