Money laundering case: ED attaches assets worth Rs 6.47 crore of 'Go Rural India'
ED will now find out which officials and individuals were involved in this scam. If the company people are found guilty, criminal cases can be registered against them.
The Enforcement Directorate (ED) has temporarily attached immovable properties worth Rs 6.47 crore of M/s Go Rural india under the Prevention of Money Laundering Act (PMLA), 2002. This action has been taken by the hyderabad Zonal Office. The investigation revealed that the company misappropriation funds and carried out financial irregularities through fraud.
M/s Go Rural india is accused of raising huge amounts of money in the name of rural development and upliftment of farmers, but did not use it properly. Initial investigation revealed that the directors and officers of the company misused these funds in a planned manner. The government suffered huge financial loss and investors were also cheated.
The ED registered a money laundering case after a preliminary investigation of the case. The investigation found that the company bought properties with these illegal funds, whose total value is Rs 6.47 crore. Now the ED has attached these properties.
How is property attachment done?
ED can seize properties acquired through money laundering, fraud, or illegal means under PMLA, 2002. First, the property is put under provisional attachment. If the court considers this attachment valid, it is permanently seized. After this, the government can auction these properties to compensate for the loss caused by the scam.
Continuous action by ED
ED is taking strict action against money laundering and economic crimes across the country. In recent months, investigations and seizure of properties have been done under PMLA against many big companies, politicians, and businessmen. Earlier also ED had taken similar action in bank scams, misappropriation of government funds, and chit-fund scams.
The government has clearly said that strict action will continue in cases of corruption and money laundering.
ED will further intensify the investigation.
ED will further intensify its investigation in this case. It will be ascertained which officers and individuals were involved in this scam. If the directors and others of the company are found guilty, criminal cases can be registered against them. If found guilty, they can also be sentenced to jail. The government can auction the attached properties so that the losses caused by the scam can be compensated.
Lesson for investors
This case once again proves that it is important to be cautious of fraudulent companies. Investors should check the license, balance sheet, and government approval of any company before investing money in it. If a company is promising abnormally high returns, then investing in it should be avoided. This campaign of ED and the government is very important to curb corruption and black money. In the coming days, more big names related to this case may come under the scope of investigation.
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