Kochi, Nov 5 (PTI) The ED has frozen assets worth around Rs 103 crore following searches at 12 premises linked to a credit society and its founder in Keralam and Tamil Nadu as part of a money laundering probe, officials said on Thursday.
The searches were conducted on Wednesday on the premises of Bharath Lajhna Multi State Housing Co-operative Society Ltd (BLM) and its founder, R Premkumar.
According to an Enforcement Directorate (ED) statement, the agency froze or seized eight luxury cars, including a Porsche, Rolls-Royce, Toyota Vellfire, Mahindra EV 9e and Mercedes vehicles, valued at around Rs 7 crore; gold jewellery weighing 7,400 grams and valued at Rs 9.6 crore; shares worth Rs 80 crore; immovable assets valued at Rs 5 crore; and bank balances of around Rs 1.86 crore.
“The total value of the assets frozen/seized is Rs 103 crore. Further investigation is in progress,” the statement said.
The ED said the searches revealed that Premkumar continued to actively control the affairs of BLM and had been signing several statutory documents of the society.
“Investigation under the PMLA shows that about 320 bank accounts were being operated by Premkumar and his associates to layer the funds of BLM. The analysis of the accounts shows that public funds of BLMSHCS were diverted by Premkumar for personal benefit and for acquiring assets, both movable and immovable, in the names of family members or entities controlled by them,” the agency said.
The ED also found that properties belonging to BLM were mortgaged to obtain loans from financial institutions and that the loan funds were allegedly used to acquire personal assets of Premkumar.
“The money was circulated and layered to hide the source of funds. The analysis of bank accounts further shows that the misuse of BLM funds runs into hundreds of crores. The exact quantification is in progress,” the statement said.
The ED investigation was initiated based on an FIR registered by the Keralam Police against Premkumar, a founding member and de facto chairman and managing director of BLM, and others.
The FIR alleges that he misused his influence to divert crores of rupees collected from public depositors by the society into the accounts of his family members and relatives to acquire assets.
It also alleges that BLM properties were mortgaged, and the proceeds were used for personal gain and to acquire assets in the names of Premkumar’s family members.
According to the FIR, the proceeds of crime are estimated at around Rs 80 crore.
Premkumar was arrested by a Crime Branch team in Kozhikode last week but was granted bail when produced before a court.
Another FIR was registered at the Kothamangalam police station in Ernakulam district following a complaint from a woman alleging she lost more than Rs 1 crore after investing in the firm. PTI TBA TBA KH
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