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Punjab minister Sanjeev Arora sent to 7-day ED custody in ₹157 crore money laundering case
Punjab minister Sanjeev Arora sent to ED custody in a ₹157 crore money laundering case linked to alleged fake mobile exports.
A court in Gurugram on Sunday remanded Punjab industries minister Sanjeev Arora in the Enforcement Directorate’s custody for a week in connection with the multi-crore GST fraud-linked money laundering case.
The order was passed by district and sessions judge Narender Sura passed the order in a marathon midnight hearing after ED arrested the Aam Aadmi Party minister from his official residence in Chandigarh’s Sector-2 on Saturday.
The arrest came after ED registered an ECIR against Arora and three others in Gurugram on May 5 for alleged involvement in laundering ₹157.2 crore by showing export of mobile phones from May 2023 to October 2023 via a real estate firm based in Udyog Vihar to foreign countries mere on documents to enable inwards remittance in India via the banking channel to show them as legitimate source of income.
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In the enforcement case information report (ECIR), ED has also alleged that multiple shell firms were used for showing the exports at least 44,000 mobile phones mostly iPhone during the period when Arora the chief managing director of the firm.
Most of these firms, allegedly shown as supplying phones to Arora’s firm, had either never filed income tax returns, negligible income or suspended or registered GST, ED said.
The agency has alleged that out of ₹157.2 crore of export, goods valued at ₹102.5 crore were exported mere to two firms based in the UAE.
ED registered an FIR against Arora and three others for cheating, forgery and criminal conspiracy on April 18.
Appearing for ED, counsel Zoheb Hossain requested for a 10-day custodial interrogation of the minister to unearth the proceeds of crime and identify the other accomplices and beneficiaries.
They argued that Arora was the main person controlling the operation of the firm named Hampton Sky Realty Limited.
Meanwhile, Arora’s counsel Arjun Dewan vehemently opposed the request for remand. “A false and frivolous case has been cooked up against Arora and no evidence was collected against him before arrest,” he said. Dewan, opposing the custodial interrogation, also submitted that there was no sufficient material to from an opinion that his arrest was necessary.
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“ED should first verify with the customs about the consignments exported as all the records are available with them,” he said.
However, the court observed that the allegations against Arora were serious and ED has a valid ground for custodial interrogation to decode money trail, roles of accused and proceeds of crime. “The above-mentioned goal can be achieved only when the opportunity is given to the applicant to interrogate the accused in custody,” the court observed in its order.
