On January 3, 2024, the Directorate of Enforcement (ED), Mumbai, provisionally attached immovable and movable properties worth Rs. 5.37 crore belonging to Ali Asgar Shirazi and others under the provisions of the Prevention of Money Laundering Act (PMLA), 2002. This significant action is part of an ongoing investigation into a major drug syndicate involving the illegal shipment of opioids from India to foreign countries and the laundering of proceeds from these sales.
Properties of Ali Asgar Shirazi
The properties attached by the ED include seven immovable properties valued at approximately Rs. 5 crore. These properties, in the form of flats, a shop, and lands, belong to Ali Asgar Shirazi, Mehreen Shirazi, Abdul Samad, Manoj Patel, and Bhavesh Shah. In addition to the immovable properties, the ED has attached movable properties worth Rs. 36.81 lakh. These movable assets are in the form of fixed deposits (FDs) and balances in the bank accounts of Ramlakhan Patel, Shobha Patel, and M/s Hustlers Hospitality Private Limited.
Background of the Investigation
The ED initiated its investigation based on an FIR registered by the Jogeshwari Police Station in Mumbai under various sections of the Narcotic Drugs and Psychotropic Substances (NDPS) Act, 1985, and the Drugs and Cosmetics Act, 1940, against Ali Asgar Shirazi and others. The investigation revealed a complex drug syndicate operated by Shirazi and his associates, involving multiple companies and sophisticated methods to facilitate their illegal activities.
Modus Operandi of the Drug Syndicate
The drug syndicate employed a range of entities, including telecommunication companies running call centers and websites, logistic companies, consultancy firms, and dummy pharmaceutical companies. These entities were used to illegally ship opioids from India to foreign countries, primarily the USA and the UK. Orders for these drugs were received by call centers based in India, and the drugs were procured from dummy pharmaceutical companies before being transported out of the country through logistics companies.
The proceeds from the illegal sale of opioids were then laundered through a network of logistics and consultancy companies. Various companies incorporated in the USA by members of this syndicate operated payment gateways, which were used to route the proceeds of crime back to India. The investigation uncovered substantial cash deposits in accounts linked to Ali Asgar Shirazi and related persons/entities, which were identified as part of the proceeds of crime. The total proceeds of crime (PoC) ascertained so far amount to approximately Rs. 44.50 crore.
Previous Actions by the ED
Prior to this provisional attachment, the ED conducted search operations at multiple locations related to this case, resulting in the seizure/freezing of bank accounts, fixed deposits, gold, and jewelry worth around Rs. 2.9 crore. The main accused, Ali Asgar Shirazi, was arrested on January 5, 2024, and is currently under judicial custody.
The provisional attachment of properties worth Rs. 5.37 crore is a significant development in the ongoing investigation into the drug syndicate operated by Ali Asgar Shirazi and his associates. This action highlights the extensive efforts by the ED to dismantle the financial networks supporting illegal drug operations and ensure that the proceeds of crime are traced and attached.
The ED’s investigation is ongoing, and further actions are expected as more details about the syndicate’s operations and financial transactions come to light. The attachment of properties under the PMLA serves as a deterrent to individuals and entities involved in money laundering and other financial crimes, reinforcing the ED’s commitment to upholding the integrity of the financial system.
The Directorate of Enforcement’s provisional attachment of properties worth Rs. 5.37 crore in the case against Ali Asgar Shirazi and his associates marks a crucial step in the fight against drug trafficking and money laundering.
This action not only disrupts the financial operations of the drug syndicate but also sends a strong message about the consequences of engaging in such illegal activities.
As the investigation continues to unfold, the ED remains committed to unravelling the intricate web of financial impropriety and criminal activities associated with this case.
