Synopsis
The Enforcement Directorate has attached 707 acres of land worth Rs 1,460 crore from the Sahara Group in a money laundering case, revealing further complications for the company amid allegations of running a Ponzi scheme.Key Takeaways
- ED seizes Rs 1,460 crore worth land
- 707 acres in Lonavala linked to Sahara Group
- Investigation based on multiple FIRs for fraud
- Depositors claim cheating and coercion in investments
- Sahara Group allegedly operated a Ponzi scheme
New Delhi, April 15 (NationPress) The Sahara group faces new challenges as the Enforcement Directorate in Kolkata has seized 707 acres of land located in Aamby Valley City, Lonavala, Maharashtra, valued at Rs 1,460 crore in a money laundering investigation, as confirmed by an official on Tuesday.
The land was acquired through benami names using funds misappropriated from Sahara group entities, the official explained, noting that this action falls under the Prevention of Money Laundering Act (PMLA), 2002.
Additionally, the ED conducted searches under Section 17 of the PMLA, resulting in the seizure of unexplained cash amounting to Rs 2.98 crore.
The investigation initiated by the ED is based on three FIRs lodged for cheating and conspiracy against Humara India Credit Co-operative Society Ltd (HICCSL) and others by the police in Odisha, Bihar, and Rajasthan.
Furthermore, around 500 FIRs have been filed against Sahara Group entities and associated individuals, with over 300 of these registered for offenses categorized under the PMLA, as revealed by the official.
Depositors have accused the group of deceiving them into investing, coercing them to reinvest without consent, and withholding their maturity payments despite repeated requests.
The ED's investigation has uncovered that the Sahara Group was orchestrating a Ponzi scheme through various entities such as HICCSL, Sahara Credit Cooperative Society Limited (SCCSL), Saharayn Universal Multipurpose Cooperative Society (SUMCS), Stars Multipurpose Cooperative Society Limited (SMCSL), Sahara India Commercial Corporation Ltd (SICCL), Sahara India Real Estate Corporation Ltd (SIRECL), Sahara Housing Investment Corporation Ltd (SHICL), and other related Sahara entities.
The group has misled depositors and agents by promising high returns and commissions, misusing the collected funds in a way that lacked regulation and oversight from the depositors.
The investigation has shown that the group manipulated financial records to falsely indicate repayments in a scheme, treating reinvestments as new investments in another scheme.
To sustain the Ponzi scheme, they continued to accept new deposits despite being unable to repay existing maturity amounts. Part of the funds collected was redirected towards creating benami assets and financing personal luxuries, according to the ED.
During the investigations, statements from various stakeholders, including depositors, agents, Sahara Group employees, and other related individuals have been recorded under Section 50 of the PMLA.
