Probe Agency Files Prosecution Complaint In Sahara Group Money Laundering Case
The Enforcement Directorate filed a prosecution complaint earleir this month under Section 44 of the Prevention of Money Laundering Act in connection with the Sahara Group case.
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- From: India News Bull
The Enforcement Directorate (ED) has submitted a prosecution complaint this month under Section 44 of the Prevention of Money Laundering Act (PMLA) regarding the Sahara Group investigation.
This filing occurred within 60 days following the arrests of Jitendra Prasad Verma and Anil Vilaparampil Abraham, who are now listed as accused alongside various other individuals and entities.
According to the ED's investigation findings, numerous Sahara Group properties, acquired using public deposits, were being covertly sold through extensive cash transactions. The agency reports that Mr. Abraham and Mr. Verma were instrumental in facilitating, coordinating, and executing these transactions in collaboration with other parties.
Previously, following Supreme Court directives in the Sahara-SEBI case, the Sahara Group had deposited approximately Rs 16,138 crore into the Sahara-SEBI refund account as of March 31. Of this amount, Rs 5,000 crore was designated for the Central Registrar of Cooperative Societies (CRCS) under the Ministry of Cooperation to reimburse depositors of Sahara's cooperative societies. Since July 2023, CRCS has distributed Rs 2,314 crore to nearly 13 lakh depositors, while Sahara has accelerated claim processing, enabling refunds exceeding Rs 5,000 crore to more than 27 lakh depositors by July 2025.
On September 12, the Supreme Court authorized an additional disbursement of Rs 5,000 crore to CRCS from the Sahara-SEBI account. The ED's investigation supported the CRCS's petition before the court, facilitating further refunds. Efforts are continuing to refund the remaining Rs 19,533 crore held in the Sahara-SEBI account to eligible depositors.
The money laundering investigation originates from multiple FIRs filed under Sections 420 and 120B of the IPC against Sahara entities, including Humara India Credit Cooperative Society Ltd. Over 500 FIRs have been registered across various states, with more than 300 involving scheduled offenses under PMLA. The ED alleges that the Sahara Group operated a Ponzi scheme, manipulated accounts, forced redeposits, denied maturity payments, and diverted depositor funds to create benami assets and support personal expenses.
To date, the agency has issued four Provisional Attachment Orders, securing benami lands belonging to the Sahara Group and assets of other parties. Both Mr. Abraham and Mr. Verma currently remain in judicial custody.
The ED has confirmed that ongoing investigations continue into the involvement of senior Sahara officials, related individuals, and cross-border transactions connected to money laundering activities.