The ED has given assets worth Rs. 9,371 crores that it seized from Nirav Modi, Vijay Mallya and Mehul Choksi, back to banks. The ED had earlier seized overall assets worth Rs. 18,170 crores from the aforementioned scamsters. The assets worth Rs. 9,000 crores have been given to both the banks and the Centre.
ED not only attached/ seized assets worth of Rs. 18,170.02 crore (80.45% of total loss to banks) in case of Vijay Mallya, Nirav Modi and Mehul Choksi under the PMLA but also transferred a part of attached/ seized assets of Rs. 9371.17 Crore to the PSBs and
— ED (@dir_ed) June 23, 2021
On May 22, Enforcement Directorate confirmed the transferring of assets worth Rs. 8,441 crores to banks that suffered enormous losses due to frauds committed by the now fugitive scamsters Vijay Mallya, Nirav Modi and Mehul Choksi. According to reports, the overall amount these scamsters swindled from Indian banks goes to a whopping Rs. 22,586 crores. As per its release, the ED claimed that the agency has been able to seize 80.45% of that amount (Rs. 18,170 crores).
According to the latest transfer release, banks have been given assets worth Rs. 9,371 crores. This amount includes assets amounting to Rs. 329.67 crores that were seized by the ED. It should be noted that another transfer of assets worth Rs. 800 crores will be completed on June 25.
Earlier on Tuesday, June 23, the DRT (debts recovery tribunal) revealed that it sold shares amounting to Rs. 5,800 crores of Vijay Mallya’s company United Breweries LTD. These shares were earlier in scrutiny in the alleged bank scam investigation on entrepreneur and now fugitive, Vijay Mallya.
Money unearthed after following trail of transactions
The ED after the development claimed that it unearthed the money by following the trail of local and global financial transactions and dumping of assets across the world. Further investigations by the ED and other law enforcement agencies that worked in tandem revealed that the accused scamsters used dummy companies on their name for the funneling of finances that were provided by the PSU (Public Sector Undertaking) banks.
Extradition Requests Sent to Countries
ED also claimed that countries where these fugitives are residing in, have been given extradition requests. Modi and Mallya are currently in London while Choksi is in Dominica currently.
Vijay Mallya Scam Explained
Liquor baron and flamboyant businessman Vijay Mallya during his best days had his hands into airlines, sports, liquor and car racing businesses. During the early 2010s, Mallya was not able to make profits and further, wasn’t even able to pay up for his expenses.
To run Kingfisher Airlines, Mallya kept taking loans one after the other from banks. As many as 17 banks were swindled of Rs. 9,000 crores. Meanwhile, Mallya’s companies stopped paying their employees a salary and in 2012, Mallya shut down his operations. More importantly, he gave up paying loans.
In 2016, Mallya exiled to Britain and has been facing court troubles ever since. Mallya’s extradition back to India is almost certain, given the fact that UK Supreme Court denied him the permission to file an appeal against extradition.
Nirav Modi – Mehul Choksi Scam Explained
Nirav Modi and his relative Mehul Choksi are both wanted in a scam in which the duo swindled Punjab National Back (PNB) of Rs. 14,500 crores. After years of investigation, it was ascertained that the duo routed transactions using fake LoU (letter of undertaking) from PNB.
Back in 2019, Modi was arrested and was sent to the Wandsworth Prison in London. Since then, he has been appearing for hearings virtually. Recently, Modi was part of the news as his extradition was cleared by the UK home secretary.
Meanwhile, Choksi – who’s also Nirav Modi’s uncle was recently in news as the CBI took to Dominica High Court opposing his bail petition. Earlier, Choksi, who resided in Antigua and Barbuda since 2016 was captured after fleeing to Dominica.