In the continuing money laundering probe into the ‘Liquor scam’ in the state of Chhattisgarh, the Directorate of Enforcement (ED) has detained Nitesh Purohit and Trilok Singh Dhillon under the provisions of the PMLA 2002. On 9.05.2023, the ED searched different sites associated with hawala operators and businesses where profits of crime were alleged to be parked. During the search, moveable properties worth Rs 28 crore that were suspected to be PoC were discovered and seized.
The scam involved the illegal generation and diversion of money through various corrupt means. In Part A of the scam, bribes were collected from distillers on a per-case basis for liquor procured by the CSMCL (State body for purchase and sale of liquor). Part B involved the sale of unaccounted “kacha” off-the-books Country Liquor, where the sale proceeds were pocketed by the Syndicate and none of it reached the State Exchequer.
This illegal liquor was sold exclusively from State-run shops. In Part C, commissions were taken from distillers to allow them to form a cartel and have a fixed market share, making them the exclusive supplier for the state of Chhattisgarh. Additionally, kickbacks and illegal gratification were earned through commissions from FL-10A License Holders in the foreign liquor segment.
An ED investigation found that Nitesh Purohit, Anwar Dhebar’s close colleague, was engaged in the processing and transit of unlawfully obtained funds. He was transporting cash as directed by Anwar Dhebar. He was detained on 10.5.2023 and brought before the PMLA Special Court in Raipur, where he was given 5 days of ED custody for questioning.
An ED inquiry further found that Trilok Singh Dhillon was a major recipient of Proceeds of Crime using a traditional method of money laundering. He freely and intentionally permitted enormous amounts of proceeds of crime to be layered via his bank accounts and enterprises. He has received monies from FL-10A licence holders through banking channels without any fair justification, falsely displaying it as an unsecured loan and keeping it as an FD. He has also accepted bribes from big Country spirits suppliers under the pretence of business dealings and retained the money. The underlying business transactions shown have been proven to be wholly fictitious.
Unidentified individuals conducted unlawful spying on ED’s activity using an aerial drone during a search investigation at his property. The ED has frozen Rs 27.5 crore in FDs in the name of his money-laundering enterprises and confiscated Rs 52 lakhs in undeclared cash. On 11.5.2023, he was detained and brought before the PMLA Special Court, which granted him ED custody for four days.
Anwar Dhebar was also produced after 4 days in ED custody on 10.5.2023. The PMLA Special Court has prolonged his ED detention for another 5 days. More research is being conducted.
