The Directorate of Enforcement (ED) has taken possession of 15 immovable properties allegedly owned by DMK MP A. Raja in the name of a benami company M/s Kovai Shelters Promoters India Pvt. Ltd.
To get today’s top stories from the State in your inbox, subscribe to our Tamil Nadu Today newsletter
The central investigation agency invoked provisions under the Prevention of Money Laundering Act, 2002 in a disproportionate assets case against the former Union Minister and took possession of the assets.
ED investigation revealed that Mr. Raja, during his tenure as the Union Minister of Environment and Forests (2004-07), had granted Environmental Clearances to a real estate company, one of the largest firms in the country and also listed on BSE, based out of Gurugram.
The ED in a statement said that the real estate company had given “kickback” to Mr. Raja as quid pro quo for awarding the Environmental Clearance in the garb of land commission income in the hands of the benami company of the former Union Minister.
Investigators said that he had incorporated the company in 2007 in the name of his family members and his close family friend with the sole objective of using it as a vehicle to park the proceeds of crime. The company never engaged in any business activity since inception.
ED investigation established that the properties measuring 45 acres of land in Coimbatore, Tamil Nadu, worth around ₹55 Crore were purchased directly using the proceeds of crime generated by Mr. Raja.
In order to prevent the accused and his benamis from enjoying such properties, ED invoked the provisions of Section 8(4) of PMLA and took possession of the properties attached in Provisional Attachment Order dated 20.12.2022, which was subsequently confirmed by the Adjudicating Authority (PMLA), Delhi.
