The Enforcement Directorate (ED) has filed a chargesheet against Ramalinga Raju, founder of Satyam Computers, and 212 entities including 46 individuals and 166 firms, for allegedly laundering funds under the Prevention of Money Laundering Act (PMLA).
The ED chargesheet says that Ramalinga Raju conspired with the other accused and published inflated balance sheets and annual financial statements continuously during the period 2001-2008, thereby projecting a very rosy financial status for his company to keep share prices over-valued and lure ordinary investors into buying the company’s shares. ED filed a prosecution investigation report before the additional chief metropolitan magistrate cum special sessions judge in Hyderabad saying Ramalinga Raju and the other accused, who has also been probed by CBI, “derived proceeds of crime from the sale and pledge of inflated shares of M/s Satyam Computers and Services Ltd (SCSL)”.
“It transpires that the accused resorted to inter-connected transactions, so as to ensure that crime proceeds were distanced from its initial beneficiaries, and laundered the said proceeds under the cover of the corporate veil, with an ulterior motive to project the properties so acquired as untainted ones”.
(With agency inputs)