The Enforcement Directorate has provisionally attached immovable properties estimated to be ₹17.48 crore belonging to Hindustan Infracon (India) Private Limited under the Prevention of Money Laundering Act (PMLA) as the company allegedly failed to return ₹199 crore to the investors.
The attached assets include non-agricultural land parcels and residential properties located in Mysore, Bengaluru South (Karnataka) and Anantapur (Andhra Pradesh).
The ED initiated its investigation on the basis of First Information Reports registered by the Karnataka police against Hindustan Infracon (India) and its directors under various sections of the Indian Penal Code (IPC).
According to the agency, the accused persons illegally collected deposits to the tune of ₹389 crore from 7,18,817 investors, on the promise of a phenomenal rate of returns. They allegedly failed to return ₹199 crore to the investors.
The ED found that Hindustan Infracon (India) had allegedly diverted funds received from the investors and made payments to Bharath Builders, Hindustan Mega Shoppe India Limited (a sister concern), one K. Lalitha and Vajra Properties. “These funds were utilised for the purchase of immovable properties, withdrawal in cash, and thereby utilised for personal gains,” said the ED.
