ED attaches assets worth Rs.5.21 Crore of Mineral Enterprises Ltd,officials in money laundering case

Pramesh S Jain & Yogesh K Porwar

The Directorate of Enforcement (ED) provisionally attached assets worth Rs.5.21 Crore in a case related to illegal mining under the provisions of Prevention of Money laundering Act.

The assets attached are in the form of six immovable properties owned by the accused persons.

ED initiated investigation under Prevention of Money Laundering Act,2002 on the basis of FIR registered by the Special Investigation Team,Karnataka Lokayukta, Bengaluru against Mineral Enterprises Ltd.

Unknown government employees and other unknown persons under various section of Mines & Minerals Development Regulation Act,1957 and Prevention of Corruption Act,1988 on the basis of directions issued by Supreme Court of India.

The case pertains to trading of illegally mined iron ore by various traders.

During investigation under PMLA,it has been noticed that iron ore have been illegally mined,transported and traded without valid permits which caused loss to the exchequer.

It has also been noticed that the source of such illegal iron ore are two mines owned by S.B Minerals having partners – BP Anand Kumar,Panduranga Singh and Gopal Singh,one mine owned by Shanthlakshmi and J Mithyleswar and one mine owned by Bharat Mines and Minerals having partners–M/s BMM Ispat Ltd.& Dinesh Kumar Singhi.

Earlier the Centrally Empowered Committee appointed by the Supreme Court of India during its’ survey of mining leases in the state of Karnataka found gross illegalities and encroachment with respect to these four mines and kept them in C Category and on the basis of its recommendation, the Supreme Court has cancelled their licenses.

Investigation under PMLA has established that the accused have caused wrongful loss to the Government exchequer and corresponding wrongful gain to themselves.

Further investigation is under progress.