The Enforcement Directorate (ED) has provisionally attached assets worth ₹61.38 crore in connection with its ongoing probe against Bhushan Steel Limited (BSL) and Bhushan Energy Limited (BEL) under the Prevention of Money Laundering Act.
The assets include agricultural land in Maharashtra’s Raigad and warehouses of entities under the control of erstwhile promoters of BSL, the ED said in a press release on Tuesday.
The ED initiated the money laundering investigation against BSL and BEL over the alleged siphoning of public funds on the basis of a Serious Frauds Investigation Office’s complaint in August 2019.
The ED said during the investigation, it was discovered that Neeraj Singhal and BB Singhal (former promoters of BSL) diverted funds from BSL. It added the siphoning was carried out through an elaborate and complex web of transactions by way of routing of public funds in the garb of unsecured loans given by BEL to its associate companies. The proceeds from the crime were allegedly utilised for acquiring immovable properties. “The elaborate and complex web of transactions was structured to project these assets as untainted,” the ED said.