Mumbai: The Mumbai Zonal Office of the Enforcement Directorate (ED) conducted extensive search operations at 18 locations across Mumbai, Kochi and Thrissur in connection with an ongoing money laundering investigation under the Prevention of Money Laundering Act (PMLA), 2002. The case pertains to the alleged Rs 65 crore ‘Mithi River desilting scam’.
According to ED statement issued on Saturday, the searches targeted the office and residential premises linked to key individuals including BMC Engineer Prashant Ramgude, BMC contractor Bhupendra Purohit, M/s Matprop Technical Service Pvt Ltd, Jay Joshi (Director, M/s Virgo Specialties Pvt Ltd), Ketan Kadam (Controller, M/s Woder India LLP), and close associates Santino Rocco Morea and actor Dino Morea.
The ED initiated its probe based on an FIR registered by Azad Maidan Police Station, Mumbai, under various sections of the Indian Penal Code (IPC), 1860. The FIR was filed against 13 individuals and entities accused of causing a wrongful loss of over Rs 65 crore to the Brihanmumbai Municipal Corporation (BMC), said the statement.
According to preliminary findings, the accused colluded to form a cartel with the intent to manipulate BMC tenders related to desilting work on the Mithi River. This cartel allegedly monopolised contract awards and inflated rates, resulting in undue financial gains to contractors and a significant loss to the public exchequer. These illegal proceeds were then laundered through shell companies created by key individuals, including Kadam, Purohit and Ramgude.
During the search operations, the ED seized Rs 7 lakh in cash, froze 22 bank accounts and fixed deposits, and one demat account. The total value of assets seized and frozen so far stands at over Rs 1.25 crore.
In addition, several digital devices and incriminating documents were recovered, which are believed to be critical for further investigation under PMLA. The investigation continues to be underway, with the ED further examining the financial trail and a possible broader network involved in the scam.
(IANS)
