Panaji: The Panaji zonal office of the Enforcement Directorate (ED) has provisionally attached movable and immovable properties valued around Rs 1,023.85 crore under the Prevention of Money Laundering Act (PMLA) with regard to the matter pertaining to alleged illegal iron ore mining in Goa between 2007-12 by ‘AVS Group’.
The provisional attachment order was issued on June 19, ED said.
According to ED, the attached assets comprise 99 immovable properties located in India (Rs 459.10 crore), 31 immovable properties situated in Singapore (Rs 471.32 crore) and equity shares in Indian companies (Rs 93.42 crore) held in the names of the Estate of Late Anil Vassudeva Salgaocar (through its administratrix Lakshmi Anil Salgaocar), M/s Salgaocar Mining Industries Pvt Ltd, M/s Shantilal Khushaldas and Brothers
Pvt Ltd, M/s S Kantilal and Co Pvt Ltd, M/s Salitho Ores Pvt Ltd, M/s Vertex Newton Projects Pvt Ltd and M/s Subarnarekha Port Pvt Ltd.
The Enforcement Directorate said that the investigation was initiated on the basis of an FIR registered by the Crime Branch of Goa police for offences under Indian Penal Code, Prevention of Corruption Act and MMDR Act.
According to ED, the Supreme Court, vide its judgments dated April 21, 2014, and February 7, 2018, also held that all mining undertaken in Goa after November 22, 2007, (till issue of fresh mining leases) was illegal and without lawful authority.
The probe by ED has revealed that the AVS Group operated ten mining leases during 2007-12 and generated proceeds of crime of Rs 2,492.95 crore from the illegal extraction, sale and export of iron ore.
“The illegally mined ore was exported at grossly undervalued prices to shell entities (Special Purpose Vehicles) incorporated in the British Virgin Islands, which acted as mere paper intermediaries and resold the ore to China, generating further offshore trade profits of approx. Rs 2,744.89 crore,” the ED said.
The total proceeds of crime thus work out to Rs 5,237.84 crore (approximately), the ED said adding that “these funds were layered through BVI and Singapore-based SPVs, utilised to acquire substantial movable and immovable assets abroad, and partly routed back into India in the guise of share capital”.
