On 22-6-2023, the Directorate of Enforcement (ED) arrested Wasim Bawla under the provisions of the Prevention of Money Laundering Act, 2002, in connection with an ongoing investigation into the smuggling of foreign origin betel nuts via the Indo Myanmar Border by shell entities based in the North-East without payment of customs duty, causing loss to the government.
The ED launched an inquiry into money laundering based on an FIR filed by the CBI, ACB, Nagpur. During the preliminary inquiry, it was discovered that DRI had initiated an investigation into many Nagpur dealers who were obtaining foreign-origin betel nuts. The ED searched numerous people’s homes, and throughout the searches, various incriminating documents and electronic equipment were confiscated.
An ED probe indicated that huge sums were transferred to a few Assam-based parties before being withdrawn in cash and suspected of being utilised to acquire contraband foreign-origin betel nuts. The betel nuts of foreign origin were carried to Nagpur by faking domestic invoices, transportation bills and so on.
Wasim Bawla was found to be actively involved in the smuggling of foreign-origin betel nuts through his active affiliation with Assam traders, transporters, warehouse owners, and shell businesses that lent fraudulent invoices to assist the sale and purchase of betel nuts in the Nagpur region.
Wasim Bawla had made every attempt to avoid the ED inquiry, including changing phones repeatedly, failing to reply to ED summons, and failing to participate in the search procedures while in Nagpur. Wasim Bawla had also utilised ill-gotten smuggling money to ‘buy’ secret official papers by paying ED contractual personnel.
Wasim Bawla’s claims had inconsistent responses, and his demeanour is evasive and dishonest. As a result, Wasim Bawla was arrested on June 22, 2023. On his appearance before the Hon’ble Special PMLA Court in Mumbai, he was ordered to ED custody for 8 days, till June 30, 2023. The situation is currently being investigated further.
