Properties of Shiv Sena MP Pratap Sarnaik attached under PMLA

Close on the heels of the Enforcement Directorate attaching properties of Maharashtra Chief Minister Uddhav Thackeray’s brother-in-law Shridhar Patankar, the central agency on Friday took similar action against Shiv Sena MLA Pratap Sarnaik.

The action was taken under the Prevention of Money Laundering Act (PMLA) in connection with the National Spot Exchange Limited (NSEL) scam

Sarnaik is a three-time MLA from Ovala-Majiwada constituency in Thane district and is close to the Thackeray family.

“The ED attaches assets worth Rs 11.35 crore under PMLA in the NSEL scam. The attached assets are in the form of 02 flats and a parcel of land in Thane, Maharashtra held by Pratap Sarnaik. The value of total attached assets in this case stands at Rs 3,254.02 crore,” the ED said in a press communique.

The ED initiated money laundering investigation on the basis of FIR No. 216 of 2013 dated 30 September, 2013 registered by Economic Offence Wing, Mumbai Police in NSEL case, its directors and key officials of NSEL, 25 defaulters of NSEL and others.

“In this case, accused persons hatched a criminal conspiracy to defraud the investors, induced them to trade on the platform of NSEL, created forged documents like bogus warehouse receipts, falsified the accounts and thereby committed criminal breach of trust in respect Rs. 5,600 crore of approximately 13,000 investors,” it said.

Investigation conducted under PMLA revealed that the money collected from various investors were diverted by borrowers/trading members of NSEL for other activities like investment into real estate, repayment of outstanding debts and other activities.

Investigation further revealed that Aastha Group, one of the defaulting members of NSEL has liability of Rs 242.66 crore towards NSEL. Aastha Group has diverted Rs 21.74 crore of Vihang Aastha Housing Projects LLP in the period of 2012-13. Out of the total amount of Rs 21.74 crore received by Vihang Aastha Housing Projects LLP, Rs 11.35 rore was transferred to Vihang Enterprises and Vihang Infrastructure Pvt. Limited, both firms are controlled by Pratap Sarnaik and his family members.

On the basis of money trail, scrutiny and identification assets consisting of two flats and a parcel of land in Thane amounting to total Rs 11.35 crore held by Pratap Sarnaik have been provisionally attached under PMLA, 2002.

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