ED transfers over Rs 125 cr in properties to Gitanjali Gems liquidator in PNB scam case
ED transfers over Rs 125 cr in properties to Gitanjali Gems liquidator in PNB scam case
The Enforcement Directorate (ED) in Mumbai has handed over properties worth over Rs 125 crore to the liquidator of Gitanjali Gems Ltd. as part of efforts to recover losses from the Punjab National Bank (PNB) scam involving fugitive businessman Mehul Choksi, media reports said.
The move aims to provide restitution to victims and rightful owners impacted by the money laundering case.
In collaboration with PNB and ICICI Bank, the ED has been working to monetise attached and seized properties, enabling financial institutions to recover their losses, India Today reported.
In collaboration with PNB and ICICI Bank, the ED has been working to monetise attached and seized properties, enabling financial institutions to recover their losses, India Today reported.
Following an application by the ED, the Special PMLA Court in Mumbai approved the monetisation of assets worth Rs 2,565.90 crore linked to Choksi.
Under the court's directive, ED began transferring properties, starting with Rs 125 crore in assets, including flats in Mumbai and factory/godown units in SEEPZ Mumbai. The process of returning additional properties remains ongoing, according to the report.
Between 2014 and 2017, Choksi, along with associates and PNB officials, fraudulently secured Letters of Undertaking and Foreign Letters of Credit from PNB, causing a loss of Rs 6,097.63 crore. He also defaulted on loans taken from ICICI Bank.
The ED’s investigation, covered 136 locations across India, led to the seizure of valuables worth Rs 597.75 crore and the attachment of assets worth Rs 1,968.15 crore.
Under the court's directive, ED began transferring properties, starting with Rs 125 crore in assets, including flats in Mumbai and factory/godown units in SEEPZ Mumbai. The process of returning additional properties remains ongoing, according to the report.
Between 2014 and 2017, Choksi, along with associates and PNB officials, fraudulently secured Letters of Undertaking and Foreign Letters of Credit from PNB, causing a loss of Rs 6,097.63 crore. He also defaulted on loans taken from ICICI Bank.
The ED’s investigation, covered 136 locations across India, led to the seizure of valuables worth Rs 597.75 crore and the attachment of assets worth Rs 1,968.15 crore.
These assets include properties in India and abroad, vehicles, bank accounts, factories, shares, and jewelry.
As per the court’s orders, the ED has been assisting banks and liquidators in evaluating and auctioning the attached properties.
As per the court’s orders, the ED has been assisting banks and liquidators in evaluating and auctioning the attached properties.
So far, six properties, including flats worth Rs 27 crore and two factory plots at SEEPZ valued at Rs 98.03 crore, have been handed over to the liquidator of Gitanjali Gems Ltd, according to the report.
The restitution process is ongoing, with additional assets being transferred to liquidators and banks.
The restitution process is ongoing, with additional assets being transferred to liquidators and banks.
This is a significant progress in recovering losses from one of India’s most high-profile financial fraud cases.
